UK Financial Regulator Adds Major Exchanges to Warning List

• The UK’s Financial Conduct Authority (FCA) added several major crypto exchanges, including Huobi’s HTX and KuCoin, to its list of unregistered firms on Sunday.
• Crypto companies in the UK must register with the FCA or acquire temporary permissions to operate legally, with the failure to comply potentially leading to criminal charges.
• Since 2020, the FCA has approved only 13% of crypto registration applications received.

The UK’s Financial Conduct Authority (FCA) added several major crypto exchanges, like Huobi’s HTX and KuCoin, to its list of unregistered firms on Sunday.

The warning list cautions consumers to avoid dealing with listed entities. Under UK rules, crypto companies must register with the FCA or acquire temporary permissions to operate legally.

Failure to comply can potentially lead to criminal charges, according to a senior FCA official. Since 2020, the regulator has approved only 13% of crypto registration applications received.

Exchanges like Bitstamp, Gemini, and Revolut are among 42 firms

Exchanges like Bitstamp, Gemini, and Revolut are among 42 firms on the FCA’s registered crypto provider list. Others, like PayPal and Bybit, recently halted UK services amid regulatory uncertainty.

Adding exchanges like Huobi’s HTX to the warning list signals the FCA is ramping up enforcement of crypto regulations. The move could force major platforms to restrict access until they meet the FCA’s registration requirements.

While protecting consumers, the warnings risk limiting competition if compliance costs exclude smaller players. But exchanges ultimately need FCA approval to tap into the lucrative UK market long-term.

Ongoing regulatory pressure illustrates how major jurisdictions are subjecting crypto firms to stringent oversight. Exchanges must adapt to new rules or face exclusion from local markets.