The bitcoin price has struggled to rebound as a result of the UK’s banking regulator declaring bitcoin ATMs to be illegal. The authorities have ordered cryptocurrency exchanges to close, which will have a severe influence on the adoption of Bitcoin.
As a result of the United Kingdom’s condemnation of bitcoin ATMs, the price of bitcoin could fall
Bitcoin’s price has dropped by 11.9 percent in the last month. The Financial Conduct Authority (FCA) of the United Kingdom, which regulates over 51,000 enterprises and markets in the country, has declared Bitcoin ATMs to be illegal.
The decision was made in the wake of growing worries about money laundering in the United Kingdom. All Bitcoin cashpoints are required to be taken down as the Financial Conduct Authority (FCA) has ordered exchanges to suspend operations of Bitcoin ATMs. Those that operate exchanges that do not adhere to legal criteria run the danger of being subjected to enforcement action.
ATMs enable investors to turn their Bitcoin into cash, and officials believe that these devices aid in the facilitation of money laundering in the financial system. Despite the fact that the Bitcoin blockchain’s transparency has previously assisted in the tracking down of criminals, over 80 Bitcoin ATMs in the United Kingdom will soon be shut down.
Because Bitcoin ATMs are not licensed by the Financial Conduct Authority, supermarkets and establishments that contain them are required to shut down the cashpoint’s activities. The Financial Conduct Authority (FCA) believes that cryptocurrency exchanges fail to thoroughly investigate the backgrounds of operators, which has a negative impact on the economy.
The restriction on Bitcoin ATM operations in the United Kingdom may result in a decrease in the adoption of Bitcoin in the nation. This could result in a decrease in the total number of Bitcoin transactions across all exchanges. The ban on Bitcoin ATM operations in the United Kingdom is being considered by the Financial Conduct Authority (FCA) because they believe they could be used for criminal activities and terrorist financing.