By: Eliza Bennet
In response to impending regulatory adjustments, Revolut has announced a temporary suspension of its cryptocurrency trading services for its business clients in the U.K. The decision is driven by the Financial Conduct Authority (FCA)'s planned introduction of new rules for the cryptocurrency industry, set to take effect in early 2024.
Starting from January 3, 2024, Revolut will discontinue the option for U.K. business customers to purchase cryptocurrencies via their platform. However, the company reassures that these clients will retain the ability to hold and sell their existing crypto assets, while retail clients will experience no changes in their service.
The rules proposed by the FCA, which are expected to better protect crypto market investors, include a 24-hour cooling-off period for new crypto investments and a prohibition on certain promotional incentives. The regulator has set enforcement for January 8, 2024, giving registered crypto firms sufficient time to implement necessary technological changes to meet these new standards.
Revolut has yet to issue a formal statement but has confirmed the accuracy of internal emails discussing the adjustments to its business crypto offerings. The company aims to implement changes that will enhance customer experience and ensure more robust investor protection. This action is aligned with Revolut's previous stance in the U.S. where it also temporarily suspended its crypto services due to regulatory uncertainties.
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