Regulatory Alerts2023-06-07
Added · Updated
PS23/6: Financial promotion rules for cryptoassets
The document establishes final policy and near-final rules categorizing cryptoassets as Restricted Mass Market Investments, subjecting their marketing to restrictions including clear risk warnings, a ban on investment incentives, client categorization, and appropriateness assessments. These rules apply to authorized firms, MLR-registered cryptoasset businesses, and overseas firms marketing to UK consumers, with an effective date of 8 October 2023. Non-compliant promotions constitute a criminal offense punishable by an unlimited fine and/or two years imprisonment, while existing exemptions for high net worth and sophisticated investors are explicitly disapplied.