The Financial Conduct Authority (FCA) announced the refusal of Zeux Limited’s application for cryptoasset exchange provider registration under the Money Laundering Regulations (MLRs). The announcement was made in a press release on March 17, 2025.
According to the FCA, Zeux Limited’s application was refused due to significant shortcomings in anti-money laundering (AML) controls. The application, submitted in June 2022, revealed that the firm failed to implement effective risk management measures, resulting in an increased risk of harm to the public. Key failures included inadequate understanding and documentation of risks, failure to address the National Risk Assessment, and issues with customer risk assessments and suspicious activity reporting.
Under the UK’s Money Laundering, Terrorist Financing, and Transfer of Funds Regulations, crypto firms must meet strict requirements for AML controls to operate legally. The FCA encourages firms interested in registration to engage early by seeking guidance through pre-application meetings and ensuring complete applications for assessment.
The FCA mandates registration for businesses offering certain cryptoasset services in the UK under the MLRs. This applies to firms operating in the UK or providing specific cryptoasset services, including those already registered for other services. Applications must be submitted via the FCA’s Connect system, including required documentation. Pre-application meetings are available to discuss the process but do not ensure approval. Registration and annual fees apply. The FCA reviews applications within three months once all required information is provided.
The Financial Conduct Authority is the United Kingdom’s primary financial regulatory body, established in 2013 to oversee financial markets and protect consumers. Operating independently of the UK government, it has the authority to regulate conduct related to financial products and services. In recent years, it has taken a conservative stance on digital assets, implementing stringent regulations that some critics argue hinder innovation in the sector.
