The UK Financial Conduct Authority (FCA) has issued guidance to crypto firms and authorized entities under which the distribution of crypto memes is subject to regulation by the UK’s advertising laws.
Released on July 17, the FCA’s guidance is directed at “financial agents” promoting digital assets through promotional memes. Officials suggest that market participants may not be aware that advertising memes are subject to regulatory rules.
The FCA emphasizes that any form of communication related to crypto assets can be considered by the regulator as financial advertising. Since the FCA considers cryptocurrencies to be a high-risk investment, advertising meme activities must comply with certain requirements, such as the inclusion of loss warnings and a ban on investment promotion.
Earlier, the UK Financial Supervisory Authority reported that since the beginning of the year, the agency stopped the activities of operators of 26 illegal crypto ATMs that worked without the appropriate permits and licenses.
