The Financial Conduct Authority (FCA) of the UK shared that it has shut down 26 illegal crypto machines. The statement was made on Tuesday aiming to warn consumers from losing all their money.
According to the FCA, a person in Sheffield, northern England, deposited £1,000 into a crypto ATM. He intended to purchase cryptocurrencies. However, he did not receive any cryptocurrency or funds in return.
FCA in collaboration with law enforcement agencies inspected 34 areas suspected of hosting illegal crypto ATMs in 2023. They ended up shutting down 26 machines.
Steve Smart is the joint executive director of enforcement and market oversight at the FCA. He stated to the public that there are no legal crypto ATMs operating in the UK. Therefore, consumers may end up handing their money to criminals. He further added that the consumers will not be protected and will lose all their money.
Recently the UK government has received a report containing 53 recommendations on how to establish the country as a global hub in the field of crypto. Produced by the All-Party Parliamentary Group (APPG) on Crypto and Digital Assets, the report incorporates insights from various sectors within the financial industry. It was released earlier this week.
The report emphasizes the need for immediate regulation of the crypto industry in the UK and provides recommendations on how the country can solidify its status as a global hub for crypto and digital asset investment. However, it also highlights concerns regarding the regulators’ readiness to effectively address the challenges posed by the industry.