UK Busts Illegal Crypto Exchange For Allegedly Facilitating $1.26B Worth Trades


In a recent development, two individuals have been detained by law enforcement on suspicions of running an unauthorized cryptocurrency exchange. The platform is alleged to have facilitated trades exceeding £1 billion ($1.26 billion) in cryptocurrency.

What Happened: The suspects, aged 38 and 44, had their offices in London searched by the Financial Conduct Authority (FCA), The Independent reported on Thursday. In addition, the Metropolitan Police seized multiple digital devices from two residential properties in the city. Both suspects were interviewed under caution by the FCA and later released on bail. The FCA’s investigation into the matter is ongoing.

The illicit exchange is believed to have facilitated the buying and selling of over £1 billion of unregistered crypto assets. This comes amidst a global crackdown on crypto companies, following the collapse of several industry giants, leading to substantial losses for investors.

See Also: ‘Trump Coin’ DJT Allegedly Tied To Donald Trump Causes Havoc, Other Trump Meme Coins Plummet 30%

Why It Matters: The U.K. government has been actively working on its crypto regulations, with plans to have legislation in place by June or July for stablecoins, crypto staking, exchanges, and custody.

Furthermore, the FBI issued a warning later that month against unregistered cryptocurrency services, emphasizing the importance of adhering to Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations.

This recent arrest aligns with global regulatory efforts as authorities continue to clamp down on unregistered crypto services. Earlier in 2024, the Securities and Exchange Commission (SEC) settled with TradeStation Crypto, Inc., over charges related to the unregistered offer and sale of a crypto asset lending product.

Read Next: Donald Trump Speaks On Bitcoin Mining, Wants ‘All The Remaining Bitcoin To Be Made In The USA’

Image via Shutterstock

This story was generated using Benzinga Neuro and edited by Pooja Rajkumari

Market News and Data brought to you by Benzinga APIs
Posted In: CryptocurrencyNewsMarketsGeneralcrypto scamPooja RajkumariStories That MatterUnited Kingdom
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!