Wirex has temporarily paused signing up new UK clients following what it called “constructive dialogue” with the British regulator, the FCA.
March 24, 2021 | AtoZ Markets – Wirex, a fiat and crypto payments platform has announced on Wednesday that it will no longer accept UK-based clients following discussions with the city watchdog, the Financial Conduct Authority (FCA).
While Wirex's decision to temporarily halt UK sign-ups was apparently voluntary, according to a March 24 press release, it did follow a “constructive dialogue” with the FCA.
Therefore, as from March 25 onwards, UK residents will no longer be allowed to sign up for Wirex’s services.
Wirex co-founder and CEO Pavel Mateev said the FCA had made suggestions on how the firm could update its operational procedures:
“The FCA have, in dialogue with us, made suggestions on how we can implement changes to our operational procedures, which we welcome and intend to follow [...] We fully endorse the Khalifa Fintech Review findings about growing the UK-based fintech ecosystem and see ourselves as an integral partner in achieving this.”
Moving forward, Wirex will dedicate attention and resources to strengthening its Fifth Anti-Money Laundering Directive (5AMLD) compliance protocols in line with the latest guidelines laid down by the FCA, the firm announced.
As a reminder, the FCA announced its intention in October 2020 to ban all cryptocurrency derivatives trading. By January the ban had gone into effect, and its impact was soon felt as cryptocurrency derivatices exchanges began to close down services for UK customers.
New UK residents who try to sign up will be added to a waiting list for the time being, the firm stated. Wirex claims to have 3.5 million registered users around the world, and offers access to over 150 different currencies, both crypto and fiat, through its app and Mastercard-powered debit card.
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