19 May 2026 · 5 min read
Cryptoasset businesses must register with the FCA under the Money Laundering Regulations before carrying on business in the UK. Refusal and withdrawal rates remain high, and the reasons are consistent.
The risk assessment is too generic
Blockchain analytics, exposure to mixers and privacy coins, cross-chain flows and self-hosted wallet transfers all need to be assessed for your business specifically, not described in the abstract.
Controls are described but not built
The FCA expects screening and blockchain analytics tooling to be contracted and configured, with named staff able to explain how an alert is worked. Statements of intent are not evidence.
Resourcing does not match the model
A high-volume retail exchange with one part-time compliance officer will not clear the gateway. Model your alert volumes and staff the function accordingly before you apply.
