The
Financial Conduct Authority (FCA) has updated its guidance for cryptoasset
firms, following recent legislative changes that bring crypto promotions
targeting UK consumers under its oversight. The new rules aim to enhance
consumer understanding of crypto investments and the associated risks. Particularly
given that when the regulations came into force, more than 200 crypto firms did
not comply with the fundamental requirements.
Cryptoasset
firms in the UK are now navigating a new regulatory landscape. The FCA’s latest
guidance, born out of extensive industry consultation, is tailored to help
these firms adhere to the updated marketing rules. The guidance clarifies how
authorized firms should integrate “Consumer Duty” act into their promotional
activities.
Lucy
Castledine, the FCA’s Director of Consumer Investments, emphasized the
alignment of the new crypto marketing rules with those for other high-risk
investments. The FCA has proactively sought industry feedback to refine these
rules and the accompanying guidance, acknowledging the valuable insights gained
during the consultation phase.
“We
continuously seek industry’s input to get rules, their implementation, and the
support we offer right. This guidance is no exception and we’re grateful for
all the input we received,” Castledine added.
Crypto Evolves Quickly
The FCA
acknowledges the rapid evolution of the crypto sector and…
