UK Financial Watchdog Warns Consumers Against CoinBurp Crypto Launch

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LONDON, July 25 (Reuters) – Crypto broker CoinBurp has no clearance for the planned launch of its $ BURP token and initial exchange offer on Monday, July 26, the UK Financial Conduct Authority (FCA) announced on Sunday during the last crackdown on cryptography. trade.

CoinBurp said last week that it had raised $ 6 million to create a platform for buying and selling non-fungible tokens (NFTs), digital assets that are attracting the interest of some investors, but also the scrutiny by regulators worried about the risks.

“The company is not yet fully registered with the FCA under Money Laundering, Terrorist Financing and Transfer of Funds (Payer Information) regulations… but has submitted a registration request to the FCA, “FCA said in a statement.

Although CoinBurp is listed on the FCA’s temporary registration ledger, this does not allow any business to claim to be registered or authorized by the FCA, the watchdog said.

“Although companies with this status can continue to negotiate, these companies and their staff have not yet been assessed as fit and suitable, and we have not yet determined their application for the purposes of money laundering regulations. money, ”FCA said.

CoinBurp, which could not be reached immediately for comment, said on its website that “$ BURP is coming! Be the first to know when we launch our own utility and governance token.”

“The construction of this product means that CoinBurp – as a regulated broker – will have NFTs listed on the market and can be made available to investors in large and small amounts,” he said in a statement Friday. hurry.

The FCA statement is the latest in watchdog warnings to consumers that they could lose all the money in crypto assets.

In June, the FCA said that Binance, one of the world’s largest cryptocurrency exchanges, cannot conduct any regulated activity and issued a warning to consumers about the platform, which has since been doing subject to increasing regulatory scrutiny globally.

Reporting by Huw Jones Editing by Mark Potter

Our Standards: The Thomson Reuters Trust Principles.

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