How Far Should Crypto Firms Trace a Transaction? FCA Says Risk Should Decide

Brokers and trading platforms handling cryptoassets should be able to explain why their monitoring systems flag a transaction and how far they trace its history, according to proposed guidance from the UK Financial Conduct Authority. London's trading industry is coming home! On 23 October, the FCA opened a consultation on broader updates to its Financial Crime Guide, including cryptoasset checks ahead of the authorisation regime starting on 25 October 2027. The guide would clarify supervisory expectations, not introduce new AML requirements.