UK regulator flags legal and reputational risks for soccer clubs partnering with unregistered crypto firms.
The UK’s Financial Conduct Authority has warned Premier League clubs against sponsorship deals with unauthorized crypto firms, citing potential breaches of financial promotion rules. The FCA stated such partnerships could expose clubs to legal liability, money laundering risks, and reputational damage.
Crypto firms not registered with the FCA may only advertise in the UK if their marketing is approved by an authorized entity. Major exchanges like OKX and Kraken have existing deals with Manchester City and Tottenham Hotspur, respectively. The regulator emphasized clubs’ responsibility to protect fans from high-risk financial products.
The FCA’s intervention follows concerns over the exploitation of fan loyalty through unregulated financial promotions. No immediate market reaction was reported.