Trader ‘first in UK’ to be charged with operating illegal cryptocurrency ATM

A trader accused of operating an illegal cryptocurrency ATM is believed to be the first person in the UK to be charged with the offence, police have said.

Habibur Rahman, of East Ham , London , has been charged with running the machine without registration from the Financial Conduct Authority (FCA) after police officers searched Gadcet shop in Chatham high street, Kent, on April 28 2023.

A Kent Police spokesperson said a number of crypto ATMs were seized, including one on public display, and the 37-year-old was arrested on the same day.

There are currently no crypto ATMs registered with the FCA – so if you’re using one of these machines, you could be handing your money to criminals

Rahman also allegedly laundered £300,000 of criminal cash by converting it into cryptocurrency, the force added.

Crypto ATMs are illegal machines where you can buy and sell cryptocurrencies, which is digital money, such as bitcoin or ethereum, in exchange for cash.

Matthew Long, FCA’s director of payments and digital assets, said: “There are currently no crypto ATMs registered with the FCA – so if you’re using one of these machines, you could be handing your money to criminals.

We continue to remind people that crypto remains largely unregulated and high risk; if you buy it, you should be prepared to lose all your money

“The FCA works with law enforcement partners like Kent Police to protect consumers and maintain the integrity of our financial markets.

“We continue to remind people that crypto remains largely unregulated and high risk; if you buy it, you should be prepared to lose all your money.”

Rahman will appear at Medway Magistrates’ Court on October 10.