← Go back Aug 08, 2023
PayPal halts UK Crypto sales until 2024 amid regulation shake-up Fintech company says the 'temporarily pause' will come into effect on 8 October By Daniel Fessahaye Published: 08:49 EDT, 17 August 2023 | Updated: 13:06 EDT, 17 August 2023 e-mail 9 shares 4 View comments PayPal will pause all UK customer crypto sales through its platform from October in response to new rules on crypto promotions. The Financial Conduct Authority will later this year implement tougher rules on how crypto assets are advertised to UK consumers. The new rules will, among other restrictions, require crypto firms to publish risk warnings alongside advertising and cease offering 'refer a friend' bonuses. PayPal said it will 'temporarily pause' the ability for customers to buy crypto on its platform from 1 October In an email sent to customers, the fintech company said it will 'temporarily pause' the ability for customers to buy crypto on its platform from 1 October as it works to satisfy the new regulations, which come into effect on 8 October 'PayPal consistently works closely with regulators around the world to adhere to applicable rules and regulations in the markets in which we operate,' it told customers. It added that customers could hold and sell their crypto 'at any time'. RELATED ARTICLES Previous 1 Next What is Worldcoin? ChatGPT founder's crypto project has... Bitcoin will SURGE to $120,000 by the end of 2024 according... Use crypto ATMs and you risk losing your money, warns City... Young people saddled with vast student debts and struggling... Share this article Share In May, MPs called for the government to regulate trading in cryptocurrencies in the same way as gambling , amid concerns it poses significant risks to consumers. When the FCA announced its crypto marketing shake-up in June, its executive director of consumers and competition Sheldon Mills said: 'It is up to people to decide whether they buy crypto. 'But research shows many regret making a hasty decision. Our rules give people the time and the right risk warnings to make an informed choice. 'Consumers should still be aware that crypto remains largely unregulated and high risk. Those who invest should be prepared to lose all their money. 'The crypto industry needs to prepare now for this significant change. We are working on additional guidance to help them meet our expectations.' Calls for better regulation are also growing worldwide as consumers, regulators and governments grapple with scam activity and the use of crypto by criminal organisations operating undetected. The collapse of several crypto firms including FTX last year has also left amateur investors nursing large losses. Sam Bankman-Fried, stepped down as head of FTX last November after withdrawals left it short of cash, leading to bankruptcy. Allegations swirled that he ran it as a ‘personal fiefdom’ while spending £250million on property. Around 1million creditors face losses of billions of pounds, among them an estimated 80,000 Britons. After token prices slumped dramatically last year, the price of top cryptocurrency bitcoin has gradually recovered, up around 76 per cent so far this year. However, its price is at less than half of the all-time high reached in November 2021. Earlier this month, PayPal's shares got a boost, when it launched a stablecoin, becoming the first major financial technology firm to embrace digital currencies for payments and transfers. The California-based company launched, PayPal USD, which is issued by Paxos Trust Company and is a cryptocurrency that unlike bitcoin is tied to a fiat currency, the U.S dollar. The group also said that the digital currency will first only be made available for U.S-based PayPal customers, with the exception of Hawaii and would be redeemable one-to-one for US dollars. DIY INVESTING PLATFORMS Stocks & shares Isa Stocks & shares Isa Easy investing Capital at risk. Isa rules & T&Cs apply. Investment ideas Free fund dealing Free fund dealing 0.45% account fee capped for shares Flat-fee investing No fees £9.99 monthly fee One free £5.99 trade per month Social investing Social investing Share investing 30+ million global community Model portfolios Investment account Free fund dealing Free financial coaching Affiliate links: If you take out a product This is Money may earn a commission. This does not affect our editorial independence. > Compare the best investing platform for you Share or comment on this article: PayPal halts UK Crypto sales until 2024 amid regulation shake-up e-mail 9 shares Add comment Some links in this article may be affiliate links. If you click on them we may earn a small commission. That helps us fund This Is Money, and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationship to affect our editorial independence. Comments 4 Share what you think Newest Oldest Best rated Worst rated View all The comments below have not been moderated. View all The views expressed in the contents above are those of our users and do not necessarily reflect the views of MailOnline. Add your comment Enter your comment By posting your comment you agree to our house rules . Submit Comment Clear Close Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual. No Yes Close Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual We will automatically post your comment and a link to the news story to your Facebook timeline at the same time it is posted on MailOnline. To do this we will link your MailOnline account with your Facebook account. We’ll ask you to confirm this for your first post to Facebook. You can choose on each post whether you would like it to be posted to Facebook. Your details from Facebook will be used to provide you with tailored content, marketing and ads in line with our Privacy Policy .
Read more: dailymailuk
