Cryptocurrency ATMs in the UK are under attack by financial regulators

The Financial Conduct Authority has shut down 26 crypto ATMs this year

The Financial Conduct Authority (FCA) in Britain has initiated a fresh offensive against illicit cryptocurrency machines scattered throughout the nation. In a bid to safeguard consumers from potential monetary losses, the FCA firmly shut down over two dozen machines that were unlawfully providing cryptocurrencies.

Following a highlighted incident by the FCA, a crypto ATM in Sheffield failed to provide any cryptocurrency or cash to a member of the public who had deposited £1,000 (US$1,289). As a result, the decision has been made to take action.

Since the start of this year, collaborative endeavors with various law enforcement organizations have led the FCA to carry out inquiries at 34 cryptocurrency ATMs. These actions have successfully identified and closed down 26 unlawfully operating machines.

Steve Smart, Joint Executive Director of Enforcement and Market Surveillance at the FCA, has sounded the alarm, cautioning the public about the dangers associated with utilizing unlicensed cryptocurrency ATMs. This advisory aims to shed light on the potential risks of unwittingly transferring money to criminals, with no legal recourse for protection.

The FCA’s efforts aim to raise awareness and discourage individuals from engaging with crypto ATMs. He emphasized that the operation of these machines is in violation of the law and could lead users to lose their money without any benefit.

The FCA’s measures underscore the significance of supervision and control in the realm of cryptocurrency, specifically to safeguard consumers. The UK is in the process of doing that, but seems intent on introducing almost a complete block on crypto instead of creating regulations that would allow it to flourish.