British Regulator Warns Consumers About CoinBurp

Britain’s Financial Conduct Authority (FCA) said in its latest anti-cryptocurrency statement that cryptocurrency broker CoinBurp does not have full permission to operate ahead of its planned launch of the company’s BURP token and initial offering on its exchange on Monday.

But the authority said that the company can start operating according to the temporary license, provided that it proves it has the correct controls for its business.

CoinBurp said last week that it had raised $6 million to build a platform to buy and sell non-fungible tokens (NFTs) and digital assets that are of interest to some investors, and which are also being scrutinized by regulators concerned about the risks of this new asset class.

Where the FCA said in a statement that the company does not have a total license from it to ensure control over money laundering, terrorist financing, and information about the entity to which the funds will be transferred, but the company has submitted an application for registration with the FCA.

Although CoinBurp is on the FCA’s list of provisional registrations, this does not allow any company to claim that it is registered and has FCA authorization.

The FCA’s statement comes after several warnings to consumers that they may lose all their money in crypto assets, as the FCA said in June that the Binance platform, one of the largest cryptocurrency exchanges in the world, is prohibited from carrying out any regulatory activities and issued a warning to consumers about it. Read more [Britain Bans Binance Business In The United Kingdom].

Since then, the platform has witnessed regulatory scrutiny around the world. Read more [Binance Crypto Exchange Isn’t Authorized to Operate In Italy].

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