FCA Crypto Crackdown Expected to 'Wipe Out' Bad Actors, Says Coinbase Boss
Coinbase's UK chief executive Keith Grose has welcomed the Financial Conduct Authority's (FCA) crackdown on digital assets, saying it will 'wipe out' bad actors and raise consumer trust.
The FCA introduced new rules that require crypto platforms to obtain a full financial licence, known as the FSMA Part 4A Permission, to conduct businesses with UK clients. This licence will also subject firms to higher levels of scrutiny, stronger resilience standards, and capital and stress testing to ensure they can withstand market shocks.
Grose stated that the increased regulation would allow the sector to legitimise itself in consumers' eyes and build confidence in the overall system and security. He added that with this 'stamp of approval', Coinbase can compete with established providers and broaden its capabilities beyond the crypto market.