London-based cryptocurrency and fintech firm Wirex has declared that it will no longer carry on fresh U.K.-based customers after talks with all the jurisdictional regulator, the Financial Conduct Authority.
The decision to temporarily stop U.K. sign-ups was apparently voluntary, as demonstrated by a press launch posted by Wirex on March 24, however, it did follow hot on the heels of"constructive dialogue" with the FCA.
By March 25 onwards, U.K. residents will no longer be allowed to sign up to Wirex's services. Moving forward, Wirex will dedicate resources and attention to strengthening its 5AMLD (Fifth Anti-Money Laundering Directive) compliance protocols in line with the latest guidelines laid down by the FCA, the company announced.
The FCA announced its aim to prohibit all cryptocurrency derivatives trading in October 2020. From January the ban had gone into impact , and its effect was soon felt as cryptocurrency derivatices exchanges began to close down solutions for U.K. clients.
Wirex co-founder and CEO Pavel Mateev said the FCA had made suggestions on how the company could upgrade its operational processes:
"The FCA have, in dialogue with us, made ideas on how we could implement changes to our operational processes, which we welcome and intend to follow [...] We fully endorse the Khalifa Fintech Review findings about developing the UK-based fintech ecosystem and see ourselves as an integral partner in achieving this."
New U.K. residents that try to sign up will probably be added to a waiting list to get the time being, the firm said. Wirex asserts to have 3.5 million registered users across the world, and provides access to over 150 distinct currencies, both crypto and fiat, through its app and Mastercard-powered debit card.