The clock is ticking for UK based digital asset, or crypto-asset firms operating in the UK to register with the Financial Conduct Authority (FCA). Applications must be submitted by June 30, 2020.
In a statement earlier today by the FCA, the agency reminded the crypto industry that it is the anti-money laundering and counter-terrorist financing (AML/CTF) supervisor of businesses carrying out certain cryptoasset activities in the UK.
The FCA stated that any crypto businesses that started carrying on business in the UK immediately before 10 January 2020 and are not registered by the FCA by the 10 January 2021 deadline will have to cease operating that business.
The 30 June date allows the FCA to review submitted applications and raise any follow-up questions with firms, with enough time for that process to be completed before 10 January 2021.
Any new businesses which began operating after 10 January 2020 must be registered with the FCA before carrying out any business.
Firms authorized or registered under the Financial Services and Markets Act 2000, Electronic Money Regulations 2011 or Payment Services Regulations 2017 but undertaking cryptoasset activity subject to the MLRs will also be required to apply for registration.
The FCA said it will proactively supervise firms’ compliance with the new regulations and will take “swift action” where firms fall short of desired standards.