Catenaa, Thursday, March 27, 2025-The UK’s Financial Conduct Authority (FCA) has raised concerns over the growing number of under-35s investing in cryptocurrencies, calling it a “high-risk” trend that could lead to significant financial losses.
FCA Chief Executive Nikhil Rathi told MPs on Tuesday that millions of young Britons are investing in crypto before considering traditional assets like equities or bonds. He emphasized that crypto investments are volatile and warned that if things go wrong, investors could lose all their money.
Despite increasing awareness—93% of UK adults now understand crypto, up from 91%—the FCA maintains that consumer protections remain limited. While crypto firms must register and comply with anti-money laundering regulations, investors have little recourse in case of losses.
The UK ranked 12th in the 2024 Global Crypto Adoption Index by Chainalysis, reflecting growing participation in digital assets. Currently, 12% of UK adults own cryptocurrency, up from 10% in previous findings.
Rathi noted that Britain lags behind the U.S. and Sweden in direct share ownership, attributing this to tax policies, education, regulation, and broader cultural factors. He outlined the FCA’s five-year plan to promote traditional investments and enhance consumer protection.
“We will always be anchored to our primary objectives—protect consumers, ensure market integrity, and promote competition—while supporting growth,” Rathi said.
The FCA is also exploring technologies like artificial intelligence to improve efficiency and support economic growth in the evolving financial landscape.
