Tokenization platform the BPX Exchange was added to the U.K.’s crypto register on Thursday, the first new addition since April and only the third this year, according to the Financial Conduct Authority’s (FCA) website.
The company, a digital securities exchange for investment funds, will now be able to reach out and offer its services to clients in the country as well as approve the promotions of “members of its wider group,” the regulator’s website said. It won’t be able to operate a crypto exchange or offer any services to retail clients.
Digital asset firms wishing to operate in the country need to be registered with the FCA and comply with its money laundering and promotion rules, which prevent unauthorized firms from reaching U.K. clients. A total of 52 firms have been approved since 2020. Crypto exchange Coinbase and asset manager BlackRock also joined the register this year.
Not only has the U.K. been taking steps to be known as a crypto hub since 2022 by laying out new legislation and consulting with firms to establish new rules for the industry, the current government has also said it wants the country to be a tokenization hub. Tokenization occurs when companies create a virtual investment vehicle on the blockchain that is linked to real world assets like securities.
