UK FCA warns against using OneCoin

Regulation | September 29, 2016 By:

The Financial Conduct Authority (FCA) has cautioned consumers against using cryptocurrency OneCoin.

“We believe consumers should be wary of dealing with OneCoin, which claims to offer the chance to make money through the trading and ‘mining’ of virtual currencies”, the FCA said.

The authority points to an ongoing investigation by the City of London Police, details of which are currently unknown. As OneCoin isn’t authorized in any official capacity, the FCA reminds users that consumer protection will not be able to avail consumer protection.

“The City of London Police are currently investigating OneCoin. If you believe that you have been a victim of fraud in this regard, or have had dealings with OneCoin, then please contact Action Fraud(link is external) or telephone them on 0300 123 2040”, it said. “As OneCoin is not authorised, consumers who deal with it will have no protection from the Financial Ombudsman Service or the Financial Services Compensation Scheme.”

Financial Conduct Authority is a financial regulatory body in the UK.