Summary:
First person in the UK charged with operating an illegal cryptocurrency ATM.
Habibur Rahman arrested for operating without FCA registration.
Accused of laundering ÂŁ300,000 of criminal cash through crypto.
No crypto ATMs registered with the FCA currently.
FCA warns crypto remains largely unregulated and high risk.
First Arrest in the UK for Illegal Crypto ATM Operation
The owner of a mobile phone shop in Chatham has made headlines as the first person in the UK to be charged with operating an illegal cryptocurrency ATM. According to Kent Police, this significant event unfolded on April 28, 2023, when officers executed a search warrant at the Gadcet shop on Chatham's High Street, seizing multiple crypto ATMs, including one prominently displayed to the public.
Habibur Rahman, 37, from East Ham, London, was arrested during the operation. He faces serious charges for operating the ATM without the necessary registration from the Financial Conduct Authority (FCA). Furthermore, he is accused of laundering ÂŁ300,000 of criminal cash by converting it into cryptocurrency, raising concerns over the use of such machines in illegal activities.
Mr. Rahman has been granted bail and is scheduled to appear at Medway Magistrates' Court on October 10. This case highlights the ongoing issues surrounding crypto ATMs, which allow users to buy or convert funds into cryptoassets. The FCA has previously warned that these machines can facilitate the laundering of illicit funds.
Currently, there are no crypto ATMs registered with the FCA. Matthew Long, the FCA's director of payments and digital assets, reiterated the risks involved, stating that individuals engaging with crypto should be prepared for the possibility of losing all their money.
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