The U.K. financial regulator suspends Wirecard Card Solutions that issues Visa crypto debit cards.

The U.K.'s Financial Conduct Authority has suspended Wirecard's subsidiary, Wirecard Card Solutions that issues Visa crypto debit cards.

The U.K.’s regulatory body Financial Conduct Authority (FCA) has suspended Wirecard’s subsidiary, Wirecard Card Solutions (WCS), which issues Visa crypto debit cards. The Financial Action Authority said that Wirecard Card Solutions is no longer permitted to conduct any regulated activities” and must not dispose of any assets or funds. The FCA further noted that there are ongoing events in Germany concerning companies closely linked to Wirecard. Wirecard is a subsidiary of Wirecard AG which is based in Germany and is currently the subject of law enforcement interest and insolvency proceedings. 

 

The FCA has been working with Wirecard U.K. to take action. 

The Financial Conduct Authority revealed that it is working closely with Wirecard U.K. and other authorities over the past few days to take action that protects consumers. “We are continuing to do this, and on 26 June, we took additional measures to require the firm to cease all regulated activities in order to protect customer money further. This now means customers money cannot be accessed,” the FCA added. The Wirecard also runs a similar subsidy company in Singapore that offers crypto cards. Singapore’s regulatory authorities have not taken any actions yet. 

 

Spain regulators begin enforcing EU AMLD. 

As reported earlier, Spain regulators are set to approve new measures to modify its money laundering legislation to comply with the Europe Union’s Fifth Money Laundering Directive (AMLD 5). The Spanish parliament will vote on the updated crypto regulations in the second half of 2020, which would then allow the central bank to police the nation’s crypto providers. The 5th Anit Money Laundering Directive has forced several crypto businesses in European countries to shut down as the regulations require crypto firms to reveal details of their customers to the regulators. Countries around the world are also enforcing crypto regulations based on the FATF guidelines proposed last year. The Financial Action Task Force had asked its 37 member countries to implement the guidelines within one year. 

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Jai Pratap
Jai Pratap
A Mass Media Graduate who loves to write. Jai is also a sports enthusiast and a big movie buff. He loves to learn new things.

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