UK-based crypto firm Copper Technologies has withdrawn its registration with the Financial Conduct Authority (FCA) as it pivots towards securing licenses in the United States and other international markets.
Leadership Shift Drives Strategic Reorientation
In October, Amar Kuchinad took over as CEO following the resignation of Dmitry Tokarev. Under his leadership, Copper plans to align its strategy with the pro-crypto policies anticipated under the new U.S. administration. Kuchinad confirmed the company will pursue regulatory custodial and money-transmitter licenses in the U.S., signaling a bold entry into the American market.
Beyond the U.S., Copper is eyeing crypto-friendly jurisdictions such as Hong Kong, Switzerland, and Abu Dhabi to obtain regulatory approvals. “Refining Copper’s global growth strategy has been my priority since joining, and this has necessitated key decisions on our direction and approach,” said Kuchinad, who is primarily based in New York.
Challenges with UK Regulations
Copper has faced hurdles in the UK, failing to secure permanent registration with the FCA after the regulator renewed its crypto asset registry in 2022. This regulatory impasse has pushed the firm to prioritize overseas markets.
The FCA is working to finalize comprehensive crypto regulations by 2026, including potential restrictions on public crypto offerings. Critics argue that these measures may stifle the growth of the UK’s crypto industry, making international expansion a more attractive option for firms like Copper.
Strategic Global Expansion
Copper Technologies, chaired by former UK Chancellor Philip Hammond, has been a major player in the UK crypto space since its founding in 2018. However, its decision to shift operations overseas reflects the growing challenges of operating under stringent UK regulatory conditions.
Conclusion
Copper’s move underscores the importance of regulatory clarity for fostering innovation in the crypto sector. By focusing on global markets, the firm aims to navigate regulatory hurdles while continuing its growth trajectory. This approach highlights the increasing need for balanced regulations to retain crypto businesses domestically.
Reece Conner
Reece Conner is a leading expert in the cryptocurrency industry, known for delivering cutting-edge insights and practical guidance to both newcomers and seasoned investors. With a background in finance and technology, Conner bridges the gap between complex blockchain concepts and real-world applications.