According to a new report, leading cryptocurrency exchanges including Coinbase, Gemini and Crypto.com recently implemented finance tests and risk assessments or users of their investment platforms based in the United Kingdom.
The new measures are in direct response to the latest regulations enforced by the UK government, which now require cryptocurrency firms to fully inform users regarding the risks connected with trading in the digital assets, and to advertise the services they supply responsibly.
Before obtaining crypto and other digital assets, many UK consumers take investment advice in Shropshire, Hampshire and other affluent counties. Wealth managers can be counted on for an unbiased, expert and clear explanation of the potential risks and returns of a wide range of asset classes, from stocks and bonds to cryptocurrency.
From January 8 onwards, crypto exchange users must complete a personal declaration about their own investor profile and answer a questionnaire that is related to financial regulations and financial services. The declaration asks users to identify and categorise themselves as either restricted investors or high net worth individuals based on set criteria.
Any failure to complete the tasks listed above successfully will immediately result in the exchange user being prevented from entering trade activities via their cryptocurrency account.
The new measures introduced come as a direct result of the UK’s Financial Services and Markets Act, which has been recently extended to cover companies offering cryptocurrency, bringing them under the same legislation as conventional financial services.
