UK Cracks Down on Illegal Crypto ATMs: First Network Operator Charged
The Financial Conduct Authority (FCA) of the UK has formally accused a man of operating a series of unauthorized crypto ATMs.
Olumide Osunkoya, a 45-year-old resident of London, allegedly managed multiple crypto cash machines locations that handled transactions worth 2.6 million British pounds (approximately $3.4 million) from December 2021 to September 2023.
FCA Continues Crackdown on Unauthorized Crypto ATMs in the UK
Osunkoya did this without the necessary regulatory approval. He is scheduled to face charges at the Westminster Magistrates’ Court on September 30.
The FCA noted in its statement that this case marks the first instance of charges being filed against an individual for operating a network of crypto cash machines in the UK.
Following last month’s arrest, the Financial Conduct Authority (FCA) has intensified its actions against illegal cryptocurrency teller machines in the UK. In a notable case, 37-year-old Londoner Habibur Rahman was detained as the first person in the UK charged with operating a single unlicensed cryptocurrency cash machine.
Rahman is also accused of laundering £392,557 by converting it into cryptocurrency, according to reports.
In the official release, Therese Chambers, joint executive director of enforcement and market oversight at the FCA said:
“Our message today is clear. If you’re illegally operating a crypto ATMs, we will stop you.”
German Authorities Also Clamp Down on Unauthorized BTC ATMs
Just recently, the Federal Financial Supervisory Authority (BaFin) of Germany, in a coordinated effort with the local police, the Deutsche Bundesbank, and the Federal Criminal Police Office (BKA), conducted a significant operation targeting illegal Bitcoin teller machines across the country.
The agencies seized several unauthorized machines and confiscated a considerable sum of cash, amounting to a quarter of a million euros ($278,000) from crypto ATMs.
BaFin has since issued a strong warning to the public, advising vigilance regarding these illegal machines that could be set up with nefarious purposes. In a comprehensive operation involving 60 officials, raids were carried out at 35 locations, resulting in the confiscation of 13 illegally operated Bitcoin automatic bank tellers.
Australia Sees Explosive Growth in BTC ATMs Amid Rising Popularity
Australia has become a burgeoning hub for Bitcoin cash machines, experiencing an extraordinary growth in their numbers. Data from Coin ATM Radar indicates that the total count of machines has skyrocketed from just 73 in 2020 to 1,200 today, marking a 16-fold increase in just two years.
Globally, the installation of crypto ATMs has maintained a steady pace, with a new machine being set up approximately every two days.
This trend has ignited a lively debate: while operators of these kiosks point to the surge as a sign of growing consumer demand and a move towards mainstream acceptance, skeptics raise concerns about potential illicit uses and question whether the increase is fueled by genuine interest or merely speculative motives.
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