The UK Financial Conduct Authority (FCA) has announced a ban on the sale of crypto-derivatives and exchange traded notes (ETNs) that reference certain types of crypto-assets (crypto-ETNs) to retail consumers. Firms who carry out marketing, distribution or selling activities in or from the UK of the relevant products to retail clients, will need to comply with these rules by 6 January 2021.
The FCA has reopened the notifications window for its temporary permissions regime (TPR). EEA firms and fund managers wishing to use the TPR should notify the FCA by the end of 30 December 2020.
The UK’s JMLSG has published new sectoral guidance on how cryptoasset businesses should manage money laundering risk.
On 20 July 2020, HM Treasury launched a consultation proposing to reform the regulatory framework for approval of financial promotions. HMT’s proposals are potentially far-reaching and may have important implications for the way that certain firms conduct business.
The European Commission published an updated list of high risk third countries in respect of AML/CTF due diligence.
Financial institutions face two categories of emergencies arising out of the coronavirus disease that could impair their functioning. The first is directly financial: a sudden drop in the value of financial assets, or loss of liquidity, whether domestically or elsewhere in the world that could lead to a national or even global financial crisis. The second is operational: the failure of the support structures that underpin the financial system.