By Nathan Ferguson
The crypto market has witnessed additional traction in a few of the previous years. Additional technological upgrades and innovations are additionally emerging in this sector. As a result, a lot of people have entered the crypto market intending to get an advantage out of the expanding profits via an approach of diversified investment. However, as the crypto industry is seeing progress, criminal operations are additionally elevating to a great extent.
Crypto Payment Processing Platform Wins License in the UK
Keeping all this in view, a few jurisdictions have implemented appropriate regulatory rules for the observation of the operations of entities dealing with digital assets. In addition to this, they focus on the protection of the consumers as well as the participants associated with the world of digital assets. The regulation of crypto assets in a few jurisdictions is becoming more and more stringent.
For instance, a few areas will just permit the activity of the firms dealing with crypto if they accomplish the regulatory registration. They could additionally restrict the entities that remain unsuccessful in complying with the laws implemented in the respective country. In this regard, a unique development has taken place related to MoonPay (an application for digital payments).
The app has obtained a crypto-related regulatory license from the United Kingdom. A report has pointed out that the company accomplished the procedure of its registration under the UK-based Financial Conduct Authority (FCA). As a result of that, the payment application is at present complying with the local laws of the regulatory body regarding money laundering.
As MoonPay is registered by the FCA, the platform has occupied the place of the 40th provider of crypto services that are provided with authorization by the UK regulatory entity. The platform provides consumers with a programming interface. This deals with many processes for client identification along with assisting in controlling fraud. Apart from that, it constructs a payments application related to digital assets.
The company carries out its operations in up to one hundred and sixty countries across the globe. Nearly 5M people are being facilitated by it. The firm additionally has partnerships with more than three hundred digital wallets. It is noteworthy that the crypto-related companies and infrastructure providers remained ineffective in their endeavors to collect the license from the regulator.
By getting the authorization, MoonPay has collaborated with the rest of the fortunate ones like the trading companies Bitpanda, and eToro, Gemini (an exchange of digital assets), and a neo-banking platform Revolut. At the moment, the FCA has limited jurisdictional control influencing the market of digital assets.
FCA of UK Sees High Rate of Application Withdrawals and Registration Failures
Nonetheless, it predicts the implementation of expanded functional powers after the enactment of the Financial Services and Market Bill by the policymakers in the country. In the previous week, the officials from the FCA contacted the policymakers of the House of Commons Treasury. As per their report, only five percent of the applications filed under the latest provisional registration system for the crypto world fulfilled the standard.
Sarah Pritchard, the executive director for markets at FCA, mentioned that seventy-three percent of the respective applications were either withdrawn or did not fulfill the criteria. As noted by the director, the current value failure or withdrawal rate is very high. In advance of this, MoonPay had been registered in the US. Its UK-based registered branch is working under MoonPay (UK) Limited (a company based in London).