OANDA, a brokerage firm located in the U.S., has launched crypto trading services in the U.K. via its subsidiary OANDA Crypto. This new platform gives U.K. users the ability to trade over 63 pairs of cryptocurrencies; Bitcoin and Ether are included, with additional options coming in the future.
OANDA Crypto began in 2023 after the firm took a controlling interest in Coinpass, a crypto exchange that is registered with the Financial Conduct Authority of the UK. The FCA also regulates OANDA Crypto, and it operates as per its regulations and standards.
By 2022, OANDA had taken its cryptocurrency trading services worldwide due to its collaboration with Paxos, a major crypto platform that allowed it to trade cryptocurrencies in the US. Another development occurred in 2023 when the brokerage firm relocated from Malta to Poland after acquiring and rebranding a Polish brokerage (OANDA TMS).
OANDA faces regulatory challenges in the U.K.
OANDA’s coming to the U.K. market is happening at a time when FCA has tightened up its rules on advertising cryptocurrencies. In October 2023, the FCA brought new regulations that demand the registration of crypto companies by the FCA and put clear warnings of the risks involved in investing in online cryptocurrencies.
The new regulations have prompted some crypto companies to halt or remove their services in the U.K. Firms like Bybit and Revolut have done so, finding the FCA rules tricky to follow. Moreover, the FCA has released many warnings about crypto entities that disobeyed the policies or ran without permission.
Despite the regulatory hurdles, the firm believes that the U.K. market offers great opportunities for its crypto trading services. Lucian Lauerman, the head of digital assets at OANDA, said that the U.K. market is “very well-educated and active” and that it is becoming “more aligned with the markets where we’ve traditionally operated.”
Lauerman also said that the firm welcomes higher regulatory standards in the U.K., as they will help protect consumers and foster trust in the crypto industry. He added that the firm is committed to providing a safe, secure, and transparent crypto trading experience to its customers.
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