ChainCatcher news, in response to the rise in fraud cases, the UK's Financial Conduct Authority (FCA) has announced a series of guidelines for financial services companies and social media influencers regarding the posting of memes about cryptocurrencies and other investments. The FCA stated in a statement that any marketing content for financial products— including content expressed through memes— should be fair, clear, and not misleading. The regulator requires that all financial social media influencers must obtain approval from an FCA-designated representative before posting advertisements and memes related to financial products and services.The FCA noted that the use of memes for promotion is particularly common in the cryptocurrency industry, especially on platforms like Telegram and Reddit. This move is part of the FCA's measures in response to the increasing trend of financial fraud, as the regulator removed over 10,000 misleading financial services advertisements in 2022.

ChainCatcher news, according to CoinDesk, the UK's Financial Conduct Authority (FCA) expressed support for a report released by industry experts on Friday regarding the implementation of fund tokenization. The technical working group established by the Treasury's Asset Management Special Task Force stated that companies should ensure their funds are authorized by UK regulators, hold traditional assets, and should be interoperable with future technologies. For companies to successfully launch tokenized funds, regulatory certainty is required. Furthermore, in certain cases, companies wishing to use DLT need to register with the FCA and comply with its Money Laundering Regulations (MLR). The FCA is currently exploring whether it can expedite the MLR application process for companies that have already been authorized.

ChainCatcher news, the UK Treasury has released the final proposal for the regulation of crypto assets, outlining the UK government's intention to bring certain crypto asset activities under the scope of financial services regulation for the first time. The government's position is that companies dealing directly with UK retail consumers, regardless of their location, should be required to obtain authorization.The document describes that companies engaged in crypto asset activities must now obtain authorization from the UK Financial Conduct Authority, including a provision that cryptocurrency exchanges must provide detailed requirements for entry standards and mandatory disclosures when listing new assets.

ChainCatcher news, the UK's Financial Conduct Authority (FCA) has issued a warning regarding common issues in cryptocurrency marketing. The FCA stated that since October 8, it has identified three common issues with financial promotions of crypto assets, including (1) promotions claiming "safety," "security," or the convenience of using crypto asset services without emphasizing the risks involved; (2) risk warnings that are not sufficiently prominent due to small font, hard-to-read colors, or inconspicuous placement; (3) companies failing to provide customers with adequate information about the risks associated with the specific products being promoted. The FCA expects authorized firms approving financial promotions for crypto asset companies to take their regulatory obligations seriously, or else it will take action and has already imposed restrictions on one authorized firm, prohibiting it from approving financial promotions for crypto assets. The FCA stated that it is working with businesses such as social media platforms, app stores, search engines, and domain registrars to remove or block illegal promotions. We are also collaborating with payment companies to limit UK consumers' exposure to companies that publish illegal promotional activities. Furthermore, the FCA will continue to identify and take action against companies illegally marketing crypto assets to UK consumers.

ChainCatcher news, according to CoinDesk, the UK crypto lobbying group CryptoUK stated that the Financial Conduct Authority (FCA) plans to ban cryptocurrency incentives, which could force crypto companies to relocate out of the country. They are calling for the FCA to provide clearer guidance on the upcoming cryptocurrency advertising rules, specifying what constitutes "qualified crypto assets" and "financial promotions."ChainCatcher previously reported that the FCA's new advertising rules are set to stipulate that, starting from October 8, 2023, companies marketing crypto assets to UK consumers will need to introduce a 24-hour cooling-off period for first-time investors and prohibit marketing that includes "refer-a-friend" rewards.

ChainCatcher message, according to the latest consultation response, the Bank of England (BoE) plans to continue its systemic stablecoin framework. The consultation indicates that systemic stablecoins will be jointly regulated by the BoE and the Financial Conduct Authority (FCA).In addition, the UK government has recently enacted the Financial Services and Markets Act 2023 into law, granting the BoE the authority to establish a systemic stablecoin framework.

ChainCatcher news, the UK's Financial Conduct Authority (FCA) has released guidelines on financial promotions on social media, which includes a section on non-compliant crypto memes.The FCA stated, "We have observed that memes and other similar communications are circulating on social media, and users often do not realize that this content is subject to our rules. Memes that are considered to promote crypto assets may need to include disclaimers to comply with advertising regulations. Violating the financial promotion rules for crypto memes could result in unlimited fines and up to two years in prison."

ChainCatcher news, according to TheBlock, the UK's Financial Conduct Authority (FCA) has sent a letter to companies marketing crypto assets in the UK, requiring them to comply with the upcoming financial promotion regime. This order takes effect on October 8 and includes overseas companies promoting products to UK customers.The FCA outlined the requirements for promoting crypto assets in the UK, which include four legitimate methods: a licensed person conveying promotional messages; an unlicensed person conveying promotional messages but with approval from a licensed person; a crypto asset business registered with the FCA conveying promotional messages; or the promotion meeting other exemption criteria under the Financial Promotions Order.Promotions not using one of these avenues will be considered a violation of Section 21 of the Financial Services and Markets Act 2000 (FSMA), which is a criminal offense punishable by up to 2 years in prison, unlimited fines, or both. (Source link)