Crypto vs Cash: 3 Clandestine Trading Posts Raided in London

Raids in London against cash for crypto. The Financial Conduct Authority, the British financial watchdog, has raided three peer-to-peer trading sites operating without registration in the capital. These shops exchanged cash for bitcoins or stablecoins over the counter without any identity verification.

So far, the FCA had mainly relied on public warnings and a blacklist of unregistered businesses. Its agents are now moving into backrooms, accompanied by the police.

Key Points

• The FCA raided three unregistered peer-to-peer crypto trading sites in London, according to CoinDesk.
• Engaging in crypto exchange activities without registration can lead to two years in prison and unlimited fines.
• Only about fifty companies are listed in the FCA's crypto register, with around 14% of applications accepted.
• The full licensing regime, integrated into the Financial Services and Markets Act, is being rolled out this year.

The FCA Moves from Warnings to Raids in London’s P2P Scene

Peer-to-peer trading refers to direct exchanges between two parties, without a centralized platform to maintain the order book. The version targeted in London resembles local commerce: a storefront, a Telegram or WhatsApp group, a bundle deposited on the counter, and cryptos credited to a wallet a few minutes later.