The UK Financial Conduct Authority (FCA) has charged London-based Olumide Osunkoya with running an illegal crypto ATM network, marking the first case of its kind in the UK. As crypto ATMs are increasingly used for money laundering, the FCA’s crackdown on unregistered operators underscores the need for strict regulatory compliance. The ATM scheme allegedly processed £2.6 million in crypto transactions.
Key Points:
- The Case: The UK Financial Conduct Authority (FCA) has charged Olumide Osunkoya, 45, for running an unregistered network of crypto ATMs across multiple locations and violating AML regulations.
- The Volume: The ATMs processed £2.6 million in crypto transactions between December 2021 and September 2023 without FCA registration.
- The Premiere: It is the FCA’s first criminal prosecution related to unregistered crypto activity under the UK’s Money Laundering, Terrorist Financing, and Transfer of Funds Regulations (MLRs) 2017.
Short Narrative:
In a landmark case, the FCA has charged Olumide Osunkoya for unlawfully operating multiple crypto ATMs in the UK without the required FCA registration. Between 2021 and 2023, these machines processed £2.6 million in transactions, violating anti-money laundering (AML) regulations. This is the first time the FCA has brought charges against someone for running an illegal crypto ATM network, a growing concern as criminals exploit these machines to launder money. The FCA’s crackdown on illegal crypto ATMs highlights the regulator’s ongoing efforts to secure the UK’s financial system.
Actionable Insight:
This case sends a clear message to individuals and businesses operating unregistered crypto ATMs. Compliance with FCA regulations is critical to avoid serious legal consequences. Financial institutions and crypto service providers must prioritize their AML controls and ensure they are registered with the FCA to operate legally in the UK.
Call for Information:
Anyone with knowledge of unregistered crypto ATMs or similar operations is urged to report them to the FCA or local law enforcement. The FCA continues to warn that using illegal crypto ATMs may put your money at risk and could support criminal activities.
