UK regulator warns soccer clubs that partnerships with unlicensed crypto firms violate financial laws and expose fans to risks.
The UK Financial Conduct Authority has warned Premier League clubs that sponsorship deals with unauthorized crypto and trading platforms may breach financial services laws. The FCA identified firms operating without proper authorization, which could constitute criminal offenses and expose clubs to legal and reputational risks.
The regulator noted a rise in partnerships between clubs and unlicensed firms, some of which appear to be making unauthorized financial promotions. The UK Sports Minister supported the FCA’s action, emphasizing the need for responsible and safe corporate partnerships for fans.
FCA officials stated that millions of fans trust club badges, and unauthorized firms may be breaking laws by providing unlicensed services. The warnings follow concerns over consumer protection in the rapidly growing crypto sponsorship space.