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Kraken Chief Rebukes UK Crypto Promotion Rules, Citing 75% Product Gap

The exchange argues mandated warnings plus multi-step checks create harmful friction for retail investors.

Overview

  • Co-CEO Arjun Sethi says British customers cannot access roughly three quarters of products offered to U.S. users, including higher-yield and DeFi services.
  • He likened the FCA’s required risk notices to cigarette-box warnings and said appropriateness questionnaires slow trades in fast-moving markets.
  • The FCA defended the regime, saying it helps customers understand risks and that some choosing not to invest shows the rules are working as intended.
  • Kraken remains operational in the UK with an FCA Electronic Money Institution licence, and Sethi later stressed the company’s commitment to expanding its British footprint.
  • Sethi ruled out offering tokenized shares of private companies, citing liquidity and resale constraints, as the FCA intensifies enforcement that has included legal action against HTX.