Regulatory Alerts2019-07-02
Added · Updated
PS20/10: Prohibiting the sale to retail clients of investment products that reference cryptoassets
The Financial Conduct Authority prohibits the marketing, distribution, and sale in or from the UK to all retail clients of derivatives and exchange traded notes that reference certain types of unregulated, transferable cryptoassets. Firms carrying out these activities must cease them by 6 January 2021, following a transition period that ended on 31 December 2020. The rules apply to MiFID investment firms, MiFID optional exemption firms, UK branches of third-country investment firms, and EEA MiFID investment firms operating under the temporary permissions regime or financial services contracts regimes. Retail consumers with existing holdings may remain invested until they choose to disinvest, with no requirement for firms to close out positions unless requested by the consumer.