key takeaways
- The Financial Conduct Authority (FCA) referred to its ban on Crypto derivative trading retail investors in the UK.
- The purpose of this ban is to protect individual investors from high risks associated with crypto-linked derived products.
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The Financial Conduct Authority (FCA) will allow retail investors to reach the Crypto Exchange-traded notes (CETNS), according to a fried press release.
The new rules require CETNS to trading on FCA-approved UK-based investment exchanges, known as a recognized investment exchange (RIE). Financial promotion rules will give these products to the sensors to get appropriate information and they are not offered intentions without investment.
David Gale, experienced director of payment and digital finance in an FCA, said, “Since we have banned retail access to CETN, the market has developed, and David Gale, experienced director of products and digital finance under products, said,” The market has developed, and the products are more important and better main and better mainstream and better. “” In its light, we are disturbing consumers with more options, which ensure that there are security in place.
While retail investors offer these products should follow consumer duty requirements, investment will not be covered by Finance Services Compensation Scheme (FSCs).
The regulator update follows the FCA’s March 2024 decision to allow a recognized investment exchange to create an agency, maintains its ban on retail access to Crypto derivatives and will continue to monitor market development.
The change represents the latest development in the ongoing efforts of FCA, which to establish a regulatory framework for crypto assets, recently published proposals published and other aspects of governance.
This is a developing story.
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