FCA, HMRC and Police Inspect Three London Premises Over Illegal P2P Crypto Trading

The Financial Conduct Authority (FCA), together with HM Revenue & Customs (HMRC) and the Metropolitan Police, carried out inspections of three commercial premises in London on September 10. The sites were suspected of running unregistered peer‑to‑peer (P2P) cryptocurrency trading operations.

Enforcement Action

Following the inspections, the authorities issued cease‑and‑desist notices to the businesses and collected intelligence about their activities. The action was publicly disclosed by the FCA on September 17.

Focus on Unregistered P2P Trading

The crackdown targeted firms that operate outside the UK’s emerging crypto regulatory framework. These businesses are not licensed exchanges and have not registered for anti‑money‑laundering (AML) compliance or financial promotion rules.

Regulatory Context

The FCA is preparing to launch a new authorisation gateway for crypto firms at the end of September. While the gateway will provide a clear path for compliant firms, the regulator is simultaneously increasing pressure on entities that ignore the rules.

Implications

The enforcement demonstrates the FCA’s dual approach: facilitating legitimate crypto activity while ensuring that non‑compliant operators face consequences. The message underscores the UK’s intent to treat crypto businesses similarly to traditional financial services.