Partnered With:

UK ban on selling crypto derivatives to retail investors comes into effect on Jan. 6

Read this article in 2 Minutes

The regulator believes this will prevent losses of around £53m.

Rhythm BlockBeats news, a ban on the sale of encrypted derivatives and exchange-traded notes (ETN) in the UK will take effect on January 6 (Wednesday) local time.

The Financial Conduct Authority (Financial Conduct Authority) in 2020, after lengthy and intense negotiations Announced in October, the ban prohibits the sale, marketing and distribution of contracts for difference (CFDs), options, futures and ETNs involving cryptocurrencies to retail investors.

The regulator believes this will prevent around £53m in losses, but industry commentators fear it will lead to Consumers are turning to unregulated exchanges, even offshore exchanges - and thus outside the FCA's jurisdiction.