Copper Technologies, a cryptocurrency custody firm backed by Barclays, has withdrawn its application for a UK crypto license, citing intensified scrutiny from the Financial Conduct Authority (FCA). The move comes as the FCA continues to enforce strict licensing rules, with over 87% of crypto applications being rejected, refused, or withdrawn in 2024 due to insufficient anti-money laundering controls.
On December 20, 2024, Copper announced it would shift its focus to expanding operations in the United States, Switzerland, and the Middle East—regions seen as offering more favorable regulatory environments.
The company has faced challenges in securing UK registration since 2022, prompting it to seek approvals in other jurisdictions.
The FCA’s rigid stance has forced many crypto firms, including Copper, to reconsider their strategies. Of 35 applications submitted in 2024, only four were approved. Copper’s decision reflects a broader industry trend as firms seek growth in more accommodating markets.
Copper’s CEO, Amar Kuchinad, who took over from founder Dmitry Tokarev in October 2024, emphasized the company’s renewed focus on global expansion. “Refining Copper’s global growth strategy has been my priority since joining,” Kuchinad said, calling the UK withdrawal a “strategic move” to prioritize growth in regions with better regulatory prospects.
Despite its withdrawal, Copper remains committed to its home market in the UK. “The UK will continue to be a central part of the Copper story,” Kuchinad noted, highlighting plans to maintain local operations while pursuing broader international expansion.
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