- The Financial Conduct Authority of the UK has declared that it will double its attempts to prevent the investors from going on harm’s way.
- It said during a press release which also shed light on its strategies regarding achievements and regulations in p[revious few months.
- The watchdog got over 16,400 inquiries regarding probable frauds between April to September previous year.
Investigation of 300 Firms
UK-Based Financial Conduct Authority or FCA received over 16,400 queries regarding possible frauds between April to September previous year, where most of them were cryptocurrency frauds, leading to the firm to make inspections regarding potential cryptocurrency fraud businesses, looking into 300 cases.
But not all of these were actual frauds. In many instances, they were unlisted securities. Currently, 50 of such cases are under consideration, and the form is looking into it for links for illicit business acts and crimes.
The Financial Conduct Authority’s data review report points out that the entity put a halt to registration in 1 of 4 organizations because of mysterious backgrounds of the team.
It has also put 172 organizations on blacklist, adding the entities into unlisted cryptocurrency businesses.
Executive Director of FCA Markets, Sarah Pritchard, says that clients should be confident while making decisions regarding investment. The issued data by the organization indicates how prevalent frauds can be. Before making investments, folks need to have a check if they are authentic and enlisted in FCA, and should DYOR, for understanding persistent threats.
UK To Give Boost To Cryptocurrency Regulations
Like the majority of nations on the globe, regulations revolving around the crypto sector are still very foggy in UK. But the threat contained by unregulated digital assets and prevalence of crypto -associated frauds in nation, government might want to make it more robust.
As of now, any cryptocurrency service provider for UK should enlist with United Kingdom authorities. While 32 organizations have already been validated as registered digital asset service providers, still there are many unlisted firms out there in nations.
It is noteworthy that ASA (Advertising Standard Authority) in UK is also putting barriers for crypto sector. Previous year, the entity ceased more than 20 cryptocurrency ads for misleading the viewers, and providing insufficient information regarding digital asset investment risks.