Cryptocurrency exchange Bitfinex has announced that customers in the United Kingdom can no longer increase their crypto portfolios on the exchange, they are only permitted to reduce or withdraw from this week onwards.

“Effective from 10 January, 2024, certain existing UK Customers will no longer be able to make any new deposits, enter into new contracts, or increase existing margin positions,” the statement declared.

Bitfinex Restructures UK Operations, Making Limited Exceptions

In a recent statement, Bitfinex clarifies its decision to exclude corporate UK residents from its crypto exchange going forward. However, specific registered entities will receive exemptions:

“Going forward, Bitfinex will no longer be accepting applications for verification of corporate UK residents, with the exception of those who meet the definition of a high-net-worth company, unincorporated association or trust, or another relevant applicable exemption.”

Furthermore, it explains that existing customers will be able to continue reducing or closing their positions. Additionally, withdraw funds from the exchange.

Where The World Regulates Cryptocurrency Map. Source: Statista

Read more: Top 7 Crypto Exchanges With the Lowest Spreads in 2023

UK FCA Crypto Regulations Prompt Brief Scale-Backs

This isn’t the first crypto firm to halt service access to UK individuals in recent times.

Meanwhile, the changes are coming in response to the UK’s Financial Conduct Authority’s (FCA) announcement of new rules for marketing crypto assets. These will come into effect this year.

On January 3, UK customers using Revolut Business were no longer able to purchase crypto through the platform.

Despite the temporary suspension, business customers can still hold and sell their current crypto holdings. However, these adjustments will not impact Revolut’s retail customers.

Revolut reportedly emphasized that the temporary suspension is aimed at allowing the company sufficient time to adapt its services to comply with the FCA’s new requirements.

Meanwhile, BeInCrypto recently reported that the FCA published a finalized handbook on all the rules crypto firms must follow when promoting crypto.

““This Guidance is designed to help firms comply with our crypto asset financial promotion rules, in particular, the core requirement that promotions are fair, clear and not misleading,” the statement noted.

Read more: Top 5 Spot Trading Crypto Exchanges

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The post Bitfinex Halts Deposits for UK Individuals Amid Regulatory Clampdown on Exchanges appeared first on Crypto News Australia.

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Filed under: Bitcoin - @ January 8, 2024 10:13 pm