Wirex Suspended Registration For UK Customers Due To FCA Dialogue

The digital payments platform Wirex suspended registration for UK Customers after a “constructive dialogue” with the FCA- Financial Conduct Authority, so let’s find out more in our latest cryptocurrency news today.

According to the announcement made today, Wirex suspended registration for UK customers temporarily following a “constructive dialogue” with the Financial Conduct Authority. Wirex wrote:

 “Wirex has announced its decision to voluntarily pause new UK customers of its popular app as of 24th March 2021. The pause is a temporary measure and follows constructive dialogue with the Financial Conduct Authority.”

The UK residents won’t be able to sign up for the Wirex services where the company will focus on improving its Fifth Anti-Money Laundering directive compliance procedures and the latter will help Wirex increase the transparency when conducting financial transactions as the company added. The FCA has made plenty of suggestions on how Wirex will change the existing operating system which the company intends to follow, as Pavel Mateev, CEO of Wirex said:

 “We believe London is the capital of fintech and the FCA’s recommendations will help us create a stable environment to operate in.”

He continued that UK-based customers that still want to use the app and have multi-currency debit cards can join a waiting list while the suspension is active. The FCA also took a hardline stance on crypto products that impose a ban on crypto derivatives for all UK retail investors earlier this year with the regulator seeing the crypto products as “ill-suited” for retail customers due to the prevalence of financial crimes, lack of reliable valuations and price volatility. Sheldon Mills, the interim executive director at FCA commented:

 “This ban reflects how seriously we view the potential harm to retail consumers in these products. Consumer protection is paramount here.”

A year ago, Wirex became a member of Visa which allowed the London-based company to issue Visa accounts and to process transactions before the US launch happens. Wirex is now a principal member of the Visa payments giant which means it can issue a Visa account and process transactions. The company will soon launch a card in the US. Visa launches principal membership to Wirex, making it the second-crypto native company after Coinbase to get one. London-based Wirex now allows users to transfer crypto and traditional currencies across the world.