British Authorities Interested In Activities Of Crypto Companies
Amid the rapid decline in bitcoin exchange rate in November 2018, UK regulators tend to pay closer attention to the crypto industry, The Telegraph reports.
According to Telegraph Money, the Financial Conduct Authority (FCA) has doubled the number of requests sent to companies involved in crypto activities.
FCA representatives stated they had sent a total of 50 requests to companies that had allegedly been working in the financial services industry without permission from the regulator. Besides, more than half of these firms received requests in the past six months.
The regulator added that it received seven reports from crypto companies in 2018, despite the fact that such reports were never submitted over the last three years.
Bitcoin captured the attention of millions of people, especially — when its price soared to $20,000 in late 2017. Some investors thought that bitcoin would fight for influence with the currencies of central banks, while others sought to make money on it. Currently, the first cryptocurrency is traded below $4000, and many investors are worried about its current state.
Large sums of money lost as a result of the crypto market decline might cause a flow of complaints to the FCA, Andrew Jacobs, a partner at the Moore Stephens accounting company, stressed. According to him, it is quite possible that fraudulent schemes will appear, and the regulator will have to make more efforts to ensure the transparent and fair work of the crypto market.
As previously reported, the UK financial regulator may impose a ban on some crypto derivatives.