London-based cryptocurrency company Blockchain.com has received approval for registration under the UK’s Financial Conduct Authority (FCA) nearly four years after initially withdrawing its application in March 2022 due to delays in the approval process. Known for its cryptocurrency wallet and exchange platform, Blockchain.com enables users to buy, sell, and store Bitcoin, Ethereum, and other digital currencies. The FCA’s approval marks a significant milestone for the company amid the growing global use of cryptocurrencies and evolving regulatory frameworks, especially in financial hubs like the UK where strict regulations apply.
The company faced several challenges in complying with UK financial regulations over recent years. The decision to withdraw the application in March 2022 came after the FCA requested additional information, and Blockchain.com anticipated it would not meet all requirements within the stipulated timeframe. With the registration now approved, the company can legally enhance its operations in the UK market. Regulatory approval in the cryptocurrency sector typically boosts investor and consumer confidence, strengthens the company’s reputation, and ensures adherence to safeguards against financial fraud and illicit activities.
Going forward, Blockchain.com will be subject to FCA oversight, requiring increased transparency and compliance with regulations, which is positive for the stability of the UK crypto market. This development is expected to encourage other crypto platforms to expedite their efforts to obtain regulatory approval in the UK to operate lawfully and provide secure services. However, due to the inherent nature of the crypto market, regulatory complexities and market fluctuations are likely to persist.
Source: coindesk
