UK FCA carries out first crackdown on illegal peer-to-peer crypto trading

The UK's Financial Conduct Authority (FCA) has executed its inaugural joint operation to disrupt illegal peer-to-peer (P2P) crypto trading. The operation involved visiting eight premises across London, suspected of engaging in illicit P2P crypto activities. Following these visits, cease-and-desist letters were issued, and evidence collected is now supporting ongoing criminal investigations. The FCA clarified that P2P crypto trading requires appropriate registration, and currently, no FCA-registered P2P crypto traders or platforms are operating in the UK. This action aligns with the FCA's broader enforcement efforts in the crypto space, including previous actions against illegal crypto ATMs and exchanges. Experts note this demonstrates the FCA's proactive approach to unregistered crypto activities, even before the full UK crypto regime is implemented in October 2027. The FCA emphasized that crypto remains a high-risk, largely unregulated investment in the UK, with registration primarily required for anti-money laundering and financial promotion purposes.

(Source：The Block)