The FCA says that no registered crypto asset firm is allowed to provide ATM services. This means that they are illegal. Law enforcement agencies have been asked to take action against crypto ATM providers.
Britain’s Financial Conduct Authority (FCA) has ordered all crypto ATMs to stop services immediately. The FCA says that no registered crypto asset firm is allowed to provide ATM services. This means that they are illegal. Law enforcement agencies have been asked to take action against crypto ATM providers for violating UK laws and regulations relating to digital assets. More than 80 crypto ATM machines have been identified in the UK following a court ruling against
crypto ATM provider Gidiplus . FCA made a statement“ Crypto ATMs providing crypto asset exchange services in the UK must be registered with the FCA and comply with the UK Money Laundering Regulations (MLR). No registered crypto asset firm shall be permitted to provide crypto ATM services. has been given.” Images of crypto ATMs being installed in the UK have surfaced several times in recent years. The UK has so far taken a cautious approach to the crypto segment. It has taken action against ads promoting crypto. Along with this, a regulatory framework related to the digital finance sector is also being created.
The FCA said, “We regularly warn people that crypto assets are not regulated and carry a high risk, which means that people have no protection in case of a mistake. This is why people should invest in them. But be prepared to lose all your money.” A recent survey by the FCA revealed that 69 percent of crypto investors believe that these assets are under the control of the FCA. Following this, the FCA had decided to make stricter rules against promoting high-risk investments.
Apart from the UK, there are crypto ATMs in some other countries as well. The number of bitcoin ATMs in the US is increasing. Walmart last year announced the installation of 200 bitcoin ATMs in some stores in the US. People will be able to buy bitcoin from them. In addition to buying bitcoin from a bitcoin ATM, people in El Salvador can also convert it to normal currency. Last year, the US Federal Bureau of Investigation warned people against using crypto ATMs.