Cease and desist orders target three London crypto traders
The Financial Conduct Authority has issued cease and desist letters to three London premises suspected of running illegal peer-to-peer crypto trading operations. The joint action with HMRC and the Metropolitan Police took place on September 10, 2026.
Zero registered operators in the market
The Financial Conduct Authority (FCA), in coordination with HM Revenue & Customs (HMRC) and the Metropolitan Police Service, executed operations across multiple London sites on September 10, 2026.
Officers targeted three premises suspected of operating unregistered peer-to-peer cryptocurrency businesses, serving cease and desist notices requiring an immediate halt to trading.
Under the Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017, any entity conducting cryptoasset exchange services by way of business in the United Kingdom must be registered with the regulator.
The FCA confirmed that zero peer-to-peer crypto firms currently hold valid authorization to operate.
Building on April enforcement evidence
Unregistered crypto operations circumvent anti-money laundering controls, offering avenues for illicit capital flows.
The intervention builds on evidence gathered during an April 2026 enforcement action.
“Anyone running an unregistered peer-to-peer crypto business should assume we are looking at them,” warned Steve Smart, the FCA's executive director of enforcement.
Detective Sergeant Sathish Alalasundaram noted that rapid cross-border fund transfers present continuous challenges for law enforcement.
Warning letters are not enough
Raiding physical premises demonstrates active enforcement, yet cease and desist letters provide minimal friction against decentralized networks.
With broader regulatory regimes deferred until October 2027, supervisors remain locked in a reactive posture.
True deterrence demands criminal penalties rather than warning notices.