As the UK’s Financial Conduct Authority (FCA) steps up its regulatory measures against crypto businesses, PayPal UK takes the decision to temporarily suspend cryptocurrency purchases for its UK customers from October 1, 2023.
Paypal set to suspend bitcoin purchases, regulatory pressure?
Currently, the payment company PayPal continues to stand out in the crypto news landscape. After receiving extensive media coverage for the launch of its stablecoin, a new situation is on the horizon, this time less favorable for its UK-based users.
Indeed, the famous payment platform crypto-enabled payment platform plans to suspend Bitcoin purchases for around three months, according to a correspondence addressed to its customers, this Wednesday, August 16, 2023.
This measure will be effective from October 1 and will be lifted early next year. According to PayPal, this decision stems from its commitment to make adjustments to comply with local financial regulations.
While we work to meet these new regulations, you will not be able to purchase crypto using PayPal.Excerpt from Paypal’s message
Paypal to comply with new UK rules
This measure is a direct result of the recent directives issued by the Financial Conduct Authority (FCA) in the UK. These guidelines require companies operating in the crypto sector to implement specific measures before allowing their customers to initiate crypto purchases. The announcement made by PayPal acknowledges these new regulations and its efforts to comply with them.
Despite the temporary suspension of purchases of cryptos such as Bitcoin (BTC), PayPal allows its customers to maintain their assets on its platform free of charge and to sell them at any time.
Coming from a journalism university background, I came across Bitcoin and cryptocurrencies not long ago.
The potential of the Blockchain seduced me and I made it my research topic.