The Financial Conduct Authority (FCA) has launched its first coordinated raid against unregistered peer-to-peer crypto traders, targeting eight locations across London in collaboration with HM Revenue and Customs and the South West Regional Organised Crime Unit. Cease-and-desist orders were issued as authorities gathered evidence for ongoing criminal investigations.

Peer-to-peer crypto trading—which bypasses centralized exchanges like Binance, Coinbase, or Bybit—requires FCA registration in the UK. Yet regulators confirm no traders currently hold approvals, heightening concerns over illicit financial flows. The operation follows earlier enforcement actions against illegal crypto ATMs and unlawful exchanges.

Authorities warn that unregistered platforms facilitate money laundering and criminal networks. This crackdown underscores mounting regulatory scrutiny of decentralized trading channels involving assets like BTC, ETH, or XRP, which remain vulnerable to exploitation.