The UK's financial regulator (FCA) has raised concerns about the poor quality of responses from unregulated overseas cryptocurrency companies regarding the sector's upcoming advertising regime. Some companies, such as ByBit, Luno and PayPal, suspended certain services to comply with the new rules, which was approved by the regulator.
New promotional rules requiring cryptocurrency companies to post warnings on their websites and introduce a 24-hour waiting period for new investors will take effect on October 8. The regulator has also given companies the option to apply for a three-month extension to comply with the rules.
The FCA is prepared to monitor companies' compliance with the rules and has the capacity to scan 100,000 websites every day. If rules are not followed, the regulator can issue warnings and takedown requests, and work with major online platforms to prevent illegal promotions.
New promotional rules requiring cryptocurrency companies to post warnings on their websites and introduce a 24-hour waiting period for new investors will take effect on October 8. The regulator has also given companies the option to apply for a three-month extension to comply with the rules.
The FCA is prepared to monitor companies' compliance with the rules and has the capacity to scan 100,000 websites every day. If rules are not followed, the regulator can issue warnings and takedown requests, and work with major online platforms to prevent illegal promotions.