In an essential step forward, the UK has given its first criminal sentence for unregistered cryptocurrency behavior. According to the court, Olumide Osunkoya, who planned an illegal network of crypto ATMs, will spend four years in jail for breaking financial rules. In this case, the Financial Conduct Authority (FCA) has made a big step forward in its attempts to regulate the cryptocurrency space and stop illegal financial activity.
Illegal Crypto ATM Operation
Between December 2021 and March 2022, Osunkoya’s company, GidiPlus Ltd, ran 28 crypto ATMs without getting the necessary FCA registration. These machines processed a massive £2.6 million ($3.14 million) worth of purchases. To stay hidden, Osunkoya later took control of the ATMs himself and used up to 12 of them with fake names. In addition, he didn’t put anti-money laundering (AML) protections in place, which meant that criminals could use these ATMs in evil ways.
Regulatory Defiance and Fraud
In addition to operating crypto ATMs without a license, Osunkoya did several other dishonest things. To get around a crypto exchange’s source of wealth check, he faked bank records and a real name to start a business. Moreover, he was discovered with £19,540 ($24,567) in illegal cash from his illicit business. When giving the sentence at Southwark Crown Court, Judge Gregory Perrins said that Osunkoya’s acts were a clear and intentional rejection of regulatory authorities.
National FCA Crypto ATM Crackdown
The punishment comes after an FCA-led crackdown in 2023 that targeted illegal crypto ATMs all over the UK. The FCA worked with local cops to conduct operations in 38 places and successfully disassembled 30 illegal crypto machines. It was clear what happened; in the UK, the number of crypto ATMs on Coin ATM Radar dropped from 80 in 2022 to zero in 2024. The FCA warned investors again that cryptocurrency is still very risky and not controlled at all and that they could lose all their money.
Conclusion
Osunkoya’s sentence should serve as a strong warning when people try to break Bitcoin rules. Unregistered crypto businesses are getting harder to run in the UK, and the FCA has clarified that people who break financial laws will be punished. As the country tightens its control over digital assets, people and companies must follow strict rules or face serious legal consequences.
