Justin Sun's Exchange Was Warned By The UK Because It Did Not Have An Operating License

The UK Financial Conduct Authority (FCA) has listed Poloniex, a cryptocurrency exchange that Justin Sun acquired in 2019, on its list of businesses banned from operating in the UK.

The FCA warning notice said: “Poloniex is carrying out activities promoting financial services and products without FCA authorization. The UK Financial Conduct Authority advises users to avoid trading on this floor and if a problem occurs, citizens will not be protected under financial law.”

Read the details here

The special thing is that before that, FCA listed two other exchanges owned by Justin Sun. Those are Houbi (Cooperative) and KuCoin on the list of illegal activities in the UK.
Not only that, KuCoin also received a warning from the Netherlands for the same reason. In the past, both HTX and KuCoin were also accused of violating US sanctions by anonymously providing crypto services to Russian customers.
Recently, the “Justin Sun ecosystem” with many exchanges and blockchains has continuously faced negative information.

Justin Sun

In early November 2023, Poloniex was hacked and lost more than 125 million USD. But then the remediation process was completed to protect users.
At the end of November 2023, the cooperative’s blockchain became known as HECO Chain. A series of unusual transactions have been recorded with cryptocurrency withdrawals amounting to more than 86 million USD.

Previously in September 2023, Huobi Global (now renamed HTX Global) also experienced an attack, with hackers “stealing” an amount of 7.9 million USD. Fortunately, after two weeks of negotiations, the attacker returned all the stolen money.

It can be seen that the UK market is increasingly serious about regulating companies operating in the field of cryptocurrency. FCA’s latest move aims to strengthen crypto advertising laws. Placing tight constraints on organizations marketing cryptocurrencies has disrupted the operations of foreign exchanges such as Binance and Bybit.

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