The FCA has joined forces with West Yorkshire Police to shut down illegally-operated crypto ATMs in Leeds.
The FCA gathered evidence from several sites around the city as part of a joint operation with West Yorkshire Police’s Digital Intelligence and Investigation Unit.
The FCA in March last year ordered the closure of all crypto ATMS in operation across the UK. At the time, it was estimated that there were circa. 100 machines scattered across the country accepting cash for conversion to cryptoassets.
Det Sgt Lindsey Brants of the Force Cyber Team at West Yorkshire Police says: "Having conducted intelligence gathering work across West Yorkshire, we soon established the locations of several live crypto ATMs.
"Warning letters were issued requesting the operators cease and desist using the machines and that any breach of regulations would result in an investigation under money-laundering regulations. We then shared our findings with the Financial Conduct Authority."
Crypto businesses operating in the UK need to be registered with the FCA for anti-money laundering purposes. Mark Steward, executive director of enforcement at the FCA says at present no crypto ATM operators have achieved FCA registration.
"Unregistered Crypto ATMs operating in the UK are doing so illegally," he says, adding that the FCA is currently working with multiple law enforcement parties, to disrupt and disable unlawful crypto ATMs.