• The UK’s Financial Conduct Authority (FCA) recently conducted inspections of crypto ATMs in East London.
• No crypto ATMs are currently registered with the FCA, and the agency could take further action based on evidence collected during its inspections.
• A crackdown on crypto ATMs could lead to decreased demand for cryptocurrencies, impacting prices and the overall crypto industry.
UK Cracks Down On Crypto ATMs
The British FCA has set its sights on cryptocurrency ATMs in its most recent move to disrupt unlicensed enterprises in the cryptocurrency industry. On March 8, the Financial Conduct Authority (FCA) said it „used its authority to check numerous premises in East London suspected of housing unlawfully running crypto ATMs.“
These machines enable customers to purchase or convert money into cryptocurrencies such as bitcoin or ethereum. According to a statement from the regulator, it will evaluate the evidence obtained during its inspections and consider further action if deemed appropriate.
British Authorities Target Crypto ATMs
The operation with the Metropolitan Police came one month after a similar operation in Leeds. The watchdog had previously found that around 4.4% of people in the United Kingdom had some form of cryptocurrency assets; however, they warned investors that they risk losing all their money if they invest in cryptocurrencies.
Price Of Bitcoin Dropping
After reaching a high of more than $67,000 in late 2021, the price of a single bitcoin has since dropped to its current level of about $22,000.