The financial regulator published a notice of the ban in October last year because it “considers these products to be ill-suited for retail customers due to the harm they pose.
The FCA estimates that retail investors will save £53 million ($72 million) due to the derivatives ban on crypto assets.
“This ban reflects how seriously we view the potential harm to retail consumers in these products. Consumer protection is paramount here,” said Sheldon Mills, the interim Executive Director of Strategy & Communication as the regulator.
Per the statement, the unregulated cryptocurrencies are not considered as specified investments or e-money. The regulator gave Bitcoin, Ethereum, and Ripple’s XRP as examples.
Since the announcement was made, a lot has changed and Ripple is currently facing a complaint from the U.S. Securities and Commission (SEC) for allegedly selling unregistered security tokens.
The regulator cited extreme price volatility, lack of intrinsic value, cybertheft, and lack of inadequate knowledge of the new asset class by retail investors as the reasons for the ban.
Regulated crypto derivatives firms pushed out of business
The ban has rendered any firm offering cryptocurrency derivatives to be a scam or lawbreaker.“To address these harms, the FCA has made rules banning the sale, marketing and distribution to all retail consumers of any derivatives (ie contract for difference – CFDs, options and futures) and ETNs that reference unregulated transferable cryptoassets by firms acting in, or from, the UK,” reads part of the announcement.
Regulated brokerage firms have been affected by the ban. They are forced to stop offering these products or risk legal action taken against them by the financial regulator.
UK-regulated retail and institutional broker FXOpen stopped offering cryptocurrency derivatives on its platform on Jan. 5 to comply with the regulator.
“Following the decision by the Financial Conduct Authority (FCA) to prohibit retail clients from trading cryptocurrency CFDs, we regret to inform you as of 5th January 2021, you will not be unable to open any new cryptocurrency CFD orders or positions,” said the broker.
Industry analysts voiced their concern, claiming that regulated brokerages such as Coinshares, eToro, and Crypto Facilities will be affected by the ban, while unregulated platforms such as BitMEX, Deribit, Bybit, and FTX will likely benefit from the ban.
The online trading platform IG is shutting down its crypto derivatives business in the wake of the ban.
100% Success Money Back Guarantee
If our approach doesn’t outperform the overall crypto market during your subscription, we’ll give you a full refund of your membership. No questions asked. For quarterly and monthly subscribers this is applicable once your subscription runs for 6 consecutive months.
Take your next step towards crypto success
$799/year
Get everything you need to actively manage your portfolio and stay ahead. Ideal for investors seeking regular guidance and access to tools that help make informed decisions.
For your security, all orders are processed on a secured server.
What’s included in Pro:
Success Guarantee, if we don’t outperform the market, you get 100% back, no questions asked
24/7 access to experts with 50+ years’ experience
All of our top token picks for 2025
Our latest memecoins pick with 50X potential
On hand technical analysis on any token of your choice
Weekly livestreams & ask us anything with the team
Daily insights on Macro, Mechanics, and On-chain
Curated list of top upcoming airdrops (free money)
Our track record speaks for itself
With over 2.4M tokens and widespread misinformation in crypto, we cut
through the noise and consistently find winning assets.
Frequently Asked Questions
Can I trust Cryptonary's calls?
Yes. We've consistently identified winners across multiple cycles. Bitcoin under $1,000, Ethereum under $70, Solana under $10, WIF from $0.003 to $5, PopCat from $0.004 to $2, SPX blasting past $1.70, and our latest pick has already 200X'd since June 2025. Everything is timestamped and public record.
Do I need to be an experienced trader or investor to benefit?
No. When we founded Cryptonary in 2017 the market was new to everyone. We intentionally created content that was easy to understand and actionable. That foundational principle is the crux of Cryptonary. Taking complex ideas and opportunities and presenting them in a way a 10 year old could understand.
What makes Cryptonary different from free crypto content on YouTube or Twitter?
Signal vs noise. We filter out 99.9% of garbage projects, provide data backed analysis, and have a proven track record of finding winners. Not to mention since Cryptonary's inception in 2017 we have never taken investment, sponsorship or partnership. Compare this to pretty much everyone else, no track record, and a long list of partnerships that cloud judgements.
Why is there no trial or refund policy?
We share highly sensitive, time-critical research. Once it's out, it can't be "returned." That's why membership is annual only. Crypto success takes time and commitment. If someone is not willing to invest 12 months into their future, there is no place for them at Cryptonary.
Do I get direct access to the Cryptonary team?
Yes. You will have 24/7 to the team that bought you BTC at $1,000, ETH at $70, and SOL at $10. Through our community chats, live Q&As, and member only channels, you can ask questions and interact directly with the team. Our team has over 50 years of combined experience which you can tap into every single day.
How often is content updated?
Daily. We provide real-time updates, weekly reports, emergency alerts, and live Q&As when the markets move fast. In crypto, the market moves fast, in Cryptonary, we move faster.
How does the success guarantee work?
If our approach to the market doesn’t beat the overall crypto market during your subscription, we’ll give you a full refund of your membership fee. No questions asked. For quarterly and monthly subscribers this is applicable once your subscription runs for 6 consecutive months.
Recommended from Cryptonary
