UK financial watchdog FCA warns consumers against launch of CoinBurp crypto

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LONDON: Crypto broker CoinBurp not fully licensed until Monday’s scheduled launch of its $ BURP token and initial exchange offer, Britain’s Financial Conduct Authority (FCA) said on Sunday in its latest crackdown on trading of crypto.

But the FCA has said CoinBurp could start operations under its temporary registration, provided it has the appropriate controls in place.

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

CoinBurp, which says on its website “$ BURP is coming!” Said it will issue a full statement later.

The FCA said in its statement: “The company is not yet fully registered with the FCA under Money Laundering, Terrorist Financing and Money Transfer (Payer Information) regulations… but has submitted an application for registration to the FCA. “

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.

“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 of their money in crypto assets.

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

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