Crypto.com secures UK registration for ‘cryptoasset activities’
As defined by the FCA, “cryptoasset activity” includes anything that involves exchanging one crypto for another or exchanging crypto for fiat and vice versa.
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Digital asset exchange Crypto.com has just been given the green-light for “certain cryptoasset activities” in the United Kingdom, after receiving registration confirmation from the Financial Conduct Authority (FCA) on Tuesday.
According to an Aug. 16 entry in the FCA’s Financial Services Register, ‘FORIS DAX UK LIMITED’ has been registered to conduct “certain cryptoasset activities”, whilst also obtaining Money Laundering Regulation Status.
FORIS DAX UK LIMITED is listed as the registered UK trading name for Crypto.com.
Details on the registration are scarce at the time of writing and Crypto.com and the FCA are yet to comment on it, however, the FCA website suggests that businesses carrying on crypto asset activity in the UK must register to be compliant with money laundering, terrorist financing and transfer of funds regulations.
As defined by the FCA, crypto asset activity includes exchanging crypto assets for money or money for crypto assets, or automating a machine to do so, and exchanging crypto assets for crypto assets.
On the other hand, the FCA has also compiled a list of 248 UK businesses that appear to be carrying on crypto asset activity that is not registered with the FCA for anti-money laundering purposes.
Existing businesses in the UK were required to be registered with the FCA by 9 January 2021 in order to continue carrying on their business, with businesses that have applied but are still having their applications processed being granted temporary registration.
The FCA has enforcement powers allowing it to investigate and impose financial penalties on companies that are not in compliance.
Crypto.com, a Singapore-based cryptocurrency exchange that operates globally with over 50 million users, has been pursuing regulatory milestones at breakneck speed as of late.
The registration in the UK follows preregistration filings for crypto trading platforms seeking regulatory approval in Canada on Monday and approval as a Virtual Asset Service Provider in the Cayman islands on August 11.
On August 8 the exchange also obtained Virtual Asset Service Provider and Electronic Financial Transaction Act registration in South Korea following the acquisition of payment service provider ‘PnLink Co., Ltd.’, and virtual asset service provider ‘OK-BIT Co., Ltd.’.
With these and other additional regulatory milestones, Crypto.com appears to be pushing to be regarded as a secure and trustworthy exchange within the digital asset market, and its CEO Kris Marszalek has been outspoken regarding their progress.