All Bitcoin ATMs in the UK Off Radar as FCA Talks Tough, Makes Arrests

Not long after the UK’s Financial Conduct Authority (FCA) decided to clamp down on unregulated cryptocurrency ATMs, the number of Bitcoin ATMs in the country first decreased to 10 before everything completely went off the radar. It was initially thought that there might be a possibility of the United Kingdom’s authority rescinding their action; however, a recent arrest and charge in court indicate that the FCA is not backing down anytime soon.

According to information available to Today’s Gazette, Kent Police has arrested one Habibur Rahman for running a crypto ATM and assisting in laundering £300,000 in cryptocurrency for criminals using his ATM.

While Habibur is due to appear at the Medway Magistrates’ Court on 10 October, he is currently released on bail.

During a raid on his shop, Kent Police seized a number of cryptocurrency ATMs at his Gadcet shop located on Chatham’s High Street.

During a search of his mobile phone shop, he was found to have a crypto ATM where people exchanged money for cryptocurrency.

According to Kent Police, the ATMs were first found on 28 April 2023. Habibur was said to have publicly displayed one of the ATMs.

Habibur was arrested that same day and charged with operating an ATM without obtaining a license from the Financial Conduct Authority (FCA).

The FCA has put a ban on crypto ATMs. While many of them in the UK have not been registered, the same applies to Bitcoin ATMs in other countries. Operators blame the action on unclear cryptocurrency regulations worldwide.

According to Matthew Long, FCA’s director of payments and digital assets, cryptocurrency “remains unregulated,” and he cautioned people to stop buying Bitcoin and similar cryptocurrencies to avoid losing their hard-earned money.

In July 2023, the FCA said it had inspected 34 locations across the UK and, in the process, closed down 26 illegally operated ATMs.

According to the FCA, illegal Bitcoin ATM operators have been warned to “shut their machines down,” but a few went off the radar and may still be involved in the activity.

On its website, the FCA published a list of people and companies illegally dealing in cryptocurrency without regulatory approval, while warning people to stay away from those businesses.

It noted that any firm involved in crypto activity has had to seek regulatory approval since January 2020.

Speaking about countries with cryptocurrency ATMs, the US takes the lead with over 3,200 Bitcoin ATMs across the country, followed by Canada and Australia with 3,000 and 1,000 ATMs, respectively.