The Financial Conduct Authority ("FCA") is proposing rules to ban the sale of derivatives and exchange traded notes referencing cryptoassets to retail consumers. The FCA regards these products as "ill-suited to retail consumers who cannot reliably assess [their] value". If the ban comes into place it would make the UK the one of the first major economies to regulate the asset class. It is interesting to see that the FCA is taking a more negative on the sector, against a backdrop of other UK regulatory bodies like the Bank of England being more accommodating.
The Financial Conduct Authority (FCA) has proposed a ban on the sale, marketing and distribution of derivatives and exchange traded notes (ETNs) referencing certain types of cryptoassets to retail clients, which it estimates could save consumers up to £234m per year.