The UK authorities have Outlawed cryptomats

The operation of existing cryptocurrency terminals is a violation of British law and should be discontinued, the country's Financial Supervision Authority (FCA) announced this Friday.

"We are concerned about the activities of crypto-ATM in the UK and, therefore, we will contact the operators to order them to stop the relevant activities. Otherwise, they will face consequences," the FCA warns.

Operators of cryptomats must have an official registration with the FCA and comply with anti-money laundering legislation. However, none of the 27 cryptocurrency firms registered in the country has a license as an ATM operator, so the related services are obviously provided by them illegally. According to Coin ATM Radar, there are currently over 80 cryptomats in the UK under the management of eight legal entities.

The regulator mentions the company Gidiplus, specializing in the maintenance of bitcoin terminals. Her application for registration was previously rejected by the agency, after which Gidiplus appealed to the court and continued its activities pending a decision. The court rejected the appeal, stressing that the company could not prove its ability to comply with the requirements of the law.

A total of 106 crypto companies applied to the FCA for registration. More than half of the applications have already been rejected, and another 23 should be considered by the end of the month.