FCA warns about crypto.

The incoming chair of the Financial Conduct Authority has told MPs that in his experience cryptocurrency platforms are «deliberately evasive», facilitate money laundering at scale and create «massively untoward risk».

The comments from Ashley Alder suggest that crypto firms hoping to build businesses in the UK will face an uphill battle when the watchdog assumes powers to regulate swaths of the sector.
Alder made his comments during a sometimes terse appointment hearing with the Treasury committee, where he faced sustained criticism for appearing virtually from Hong Kong and for a lack of familiarity with some parts of the UK market and accountability structures.
«I think it should be regulated further,» said Alder, chief executive of Hong Kong’s Securities and Futures Commission.
The FCA has taken a tough approach to its crypto remit, rejecting 80 per cent of firms that applied to join the register of business that have passed its anti-money laundering checks. Ministers are finalising plans to give the FCA broader powers, including oversight of advertising, sales practices and management.
The FCA, which has struggled with its workload, is midway through a transformation plan that Nikhil Rathi, chief executive, said would improve efficiency.

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