On 3 June 2021, the FCA issued a statement on its website confirming that it is extending the end date of the temporary registrations regime (TRR) for existing crypto-asset businesses from 9 July 2021 to 31 March 2022.

The FCA adds that:

• The TRR was established last year to allow existing crypto-asset firms that applied for registration before 16 December 2020, and whose applications are still being assessed, to continue trading.
• A significantly high number of businesses are not meeting the required standards under the Money Laundering Regulations. This has resulted in an unprecedented number of businesses withdrawing their applications.
• The extended date allows crypto-asset firms to continue to carry on business while the FCA continues with its robust assessment.
• Anti-money laundering and counter terrorist financing legislation are aimed at protecting against enabling the transfer and disguise of funds from criminal activity, or funding of terrorist groups.