On September 10, the UK's Financial Conduct Authority (FCA) announced that Olumide Osunkoya has been charged with managing and operating a network of unregistered crypto ATMs. The charges include money laundering, document forgery, and possession of assets derived from illegal activities. Osunkoya, who ran the ATMs through his company Gidiplus Limited, is accused of processing transactions totaling £2.6 million between December 29, 2021, and September 8, 2023.
Osunkoya faces multiple charges: two counts of violating money laundering laws, two counts of document forgery, and one count of possession of criminal property. He is scheduled to appear in court on September 30 to address these allegations.
FCA's Stance on Crypto ATMsTherese Chambers, joint Executive Director of Enforcement and Market Oversight at the FCA, emphasized the authority's stance on illegal crypto ATMs: “If you’re illegally operating a crypto ATM, we will stop you. […] If you’re using a crypto ATM, you are handing your money directly to criminals. Criminals can exploit crypto ATMs to launder money globally.”
The FCA currently does not recognize any crypto ATMs as legally operating in the UK. Gidiplus Limited had applied for registration as a digital asset exchange provider in November 2021, but the application was rejected and a subsequent appeal was denied. In March 2022, the FCA ordered the closure of all unregistered crypto ATMs. Legal actions against these devices began in February 2023 and continue to this day.
Similar Cases in the UKOsunkoya’s case is part of a broader crackdown on illegal crypto ATM operations. In April 2023, Habibur Rahman was arrested for operating an unregistered crypto ATM and laundering £300,000 of illicit proceeds. Rahman, who is currently on bail, is scheduled to appear in court on October 10 to face similar charges.
The FCA’s ongoing enforcement actions reflect the regulator's commitment to tackling financial crime and ensuring that cryptocurrency operations comply with legal standards. As the cryptocurrency landscape evolves, the FCA’s stringent approach highlights the importance of regulatory compliance in the digital asset sector.
In summary, the FCA's charges against Olumide Osunkoya underscore the UK's regulatory vigilance against illegal crypto activities. With ongoing enforcement efforts and recent cases, the FCA aims to curb the misuse of cryptocurrency technology and safeguard the financial system from criminal exploitation.
September 2024, Cryptoniteuae