Revolut has suspended some crypto services for business users until it gets up to speed with new regulations on financial promotions.
Since 8 October 2023, firms wishing to promote cryptoassets in the UK must, by law, be authorised or registered by the FCA, or have their marketing approved by an authorised firm. Under FCA rules, promotions must also be clear, fair and not misleading, labelled with prominent risk warnings and must not inappropriately incentivise people to invest.
In a letter sent to customers, Revolut says that it will pause buying of cryptocurrencies for UK businesses from 3 January. However, they will still be free to hold or sell from their existing crypto balance.
“We'll keep you informed when we lift this pause on buying crypto," Revolut told customers. "Our team is working hard to ensure we're in line with upcoming regulations, and can offer you the best customer experience.”
Revolut is not alone in struggling to meet the new regulations, with the FCA issuing 146 alerts about crypto assets promotions on the first day that new rules came into force in October. The watchdog has since published further guidance to help support crypto firms to meet their compliance obligations. The guidance also details how authorised firms communicating or approving financial promotions should apply the Consumer Duty to their marketing.