Bitstamp Approved by UK's FCA - First Crypto Firm Registration Approval by the Regulator in Six Months

As one of the oldest cryptocurrency exchanges, Bitstamp has received approval from the UK's Financial Conduct Authority (FCA) to conduct business in the country.

Since June 13, Bitstamp UK Limited has been a member of the FCA's cryptocurrency register. A day earlier, broker/dealer trading firm Interactive Brokers (UK) also received approval.

It is worth noting that the FCA has not approved any cryptocurrency companies since December, so these are the only approvals in six months. Other cryptocurrency companies that have been approved previously include TP ICAP, Revolut, Gemini, Kraken and eToro.

Operating a cryptocurrency company in the UK must comply with the FCA's anti-money laundering checks. The UK government has long wanted to establish London as a crypto hub, but the regulatory licensing process has been criticized for its slow pace and conservative approach.

In 2020, the FCA began accepting registrations under its anti-money laundering rules. However, many are struggling to meet the regulator's requirements by March 31, 2022. So far, only 42 cryptocurrency companies have been registered successfully.

However, the regulatory situation may soon become clearer as Parliament is considering the Financial Services and Markets Bill, which will lay the groundwork for bringing stablecoins and crypto assets under financial services regulation, further strengthening the FCA's powers.

In a blog post, Bitstamp said, "The achievement acknowledges Bitstamp for our constant and unwavering commitment to operating at the highest standard. It additionally confirms that our platform offers compliant and secure access to cryptocurrencies in the UK, in accordance with the strict requirements set forth by the FCA."

(Source: The Block)