The FCA’s head of payments and digital assets, Val Smith, has defended the agency’s regulatory approach to the crypto industry by highlighting the significance of maintaining strict oversight to prevent money laundering activities.
She emphasized that the FCA does not reject applications without proper evaluation, but rather takes the risk of money laundering seriously as it can have a detrimental impact on individuals and society as a whole.
She also elaborated on the various real-world issues, such as terrorism and organized crime, that the FCA aims to combat through its adherence to the Money Laundering Regulations.
Regarding concerns of lowering regulatory standards to attract more crypto firms, Smith cautioned against this approach as it could result in inadequate compliance practices and harm both consumers and the market.
