The UK Financial Conduct Authority announced on September 17 that it had taken action against three London premises suspected of operating illegal peer-to-peer cryptocurrency businesses.
The operation was carried out with HM Revenue & Customs and the Metropolitan Police and took place on September 10.
What happened
The FCA says the authorities visited three premises and issued cease-and-desist letters to suspected operators.
The action was taken under the UK anti-money-laundering and counter-terrorist-financing framework applicable to crypto businesses.
The premises were not publicly identified in the reporting reviewed.
No registered P2P crypto businesses in Britain
The FCA says there are currently no registered peer-to-peer crypto trading businesses operating in Britain.
That materially raises enforcement risk for anyone running a commercial P2P crypto operation while assuming a storefront, informal broker model or person-to-person settlement structure sits outside the registration perimeter.
Important boundary: P2P activity versus P2P business
The action should not be simplified into “the UK has banned all P2P crypto trading.”
The issue is the operation of a crypto business that requires AML registration.
A private individual transferring crypto directly to another person is not automatically the same fact pattern as operating an unregistered commercial P2P trading business.
Second coordinated operation in 2026
The September operation follows an earlier April sweep involving eight London addresses.
The FCA has said evidence gathered in that earlier action is supporting ongoing criminal investigations.
That progression—from premises visits and evidence collection to criminal-investigation support—shows that enforcement is moving beyond warnings.
Why P2P models are high-risk for AML
Commercial P2P brokers can create AML challenges because they may involve cash settlement, fragmented counterparties, mule accounts, high-risk jurisdictions, rapid crypto conversion, limited source-of-funds records and opaque beneficial ownership.
Interaction with the future UK crypto regime
The UK’s broader crypto authorisation regime is scheduled to begin in 2027, but current AML registration obligations already apply.
Firms cannot assume future authorisation dates suspend today’s financial-crime rules.
Evidence Status
Confirmed / FCA Announcement + Major-Media Reporting
FCA action announced September 17; operation occurred September 10; three London premises targeted; HMRC and Metropolitan Police participated; cease-and-desist letters issued; FCA says no P2P crypto trading business is currently registered in Britain; prior April evidence supports criminal investigations.
Developing
Identities of businesses/operators, criminal charges, seized assets/evidence, transaction volumes and customer impact.
Risk Assessment
High AML / enforcement significance.
What to Watch Next
Operator identities, criminal investigations, prosecutions, asset seizures, additional UK premises actions and registration guidance for P2P business models.
FAQ
Did the FCA raid three crypto exchanges?
The action targeted three premises suspected of running unregistered P2P crypto businesses; the premises were not publicly identified.
Were cease-and-desist letters issued?
Yes.
Is all P2P crypto trading illegal in the UK?
No. The issue is operating an unregistered crypto business.
Are any P2P crypto businesses FCA-registered?
The FCA says none are currently registered in Britain.
Does the 2027 regime change today’s AML rules?
No.
Could criminal cases follow?
Evidence from the earlier April action is already supporting criminal investigations.