We are here with a new development in the world of crypto money. The UK Financial Conduct Authority, abbreviated as FCA, has released new guidance today. According to the guide, there are negative developments for some cryptocurrencies. Let’s take a look at the details together.
FCA has published a new guideline
The UK Financial Conduct Authority (FCA) has made a decision regarding meme coins in the cryptocurrency world. Accordingly, it aims to combat the non-compliance of these cryptocurrencies with promotional guidelines. It has also published a new guide with a warning for this. As covered in the newly published guidance, the FCA said it has discovered an increasing use of meme coins for many crypto communications, not knowing that firms must follow their own guidelines.
The UK Financial Conduct Authority (FCA) also makes an important statement on the subject. The UK Financial Conduct Authority (FCA) explains that “we have found that meme coins and other similar communications circulating on social media often make users unaware that they are subject to our rules.”
Position of the Financial Conduct Authority
FCA’s current position presents an interesting situation. It’s deceitful and can directly influence top meme coins like Dogecoin, Shiba Inu, and Pepe (PEPE). These mega digital currencies are designed as an internet meme. They also often communicate with their community through meme coins.
There are rules according to the FCA position of the UK Financial Conduct Authority. These meme coins will have to follow their guidelines or risk a two-year jail sentence. The FCA’s guidance states that crypto memes aiming to promote any digital currency may need to add a disclaimer to comply with advertising standards.
Is this a wind to worry about?
Regulations introduced by the UK Financial Conduct Authority FCA are no stranger to established projects in the digital currency ecosystem, especially for tokens like Dogecoin (DOGE). Meme coins vary greatly. Also, sharing meme coins always has a tremendous impact on the price movements of underlying assets.
This is especially true when the influence of high-end social media personalities like Elon Musk, who regularly shares Shiba Inu themes, is brought into focus – which is considered by many to be a signal of core presence. There is uncertainty about what will happen to situations involving the general communication of high-level personalities such as Elon Musk, Mark Cuban and other key influencers. How will regulation work in such cases? When we look at Kriptokoin.com, it is obviously not clear.
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