Bitfinex to halt services for retail clients in compliance with UK regulations

The cryptocurrency exchange Bitfinex recently announced significant changes to its services offered in the UK, affecting both new and existing customers. These changes are driven by regulatory compliance and mark a significant shift in the company's business operations in the UK market.

New Customer Policy: Changes in Eligibility

In order to comply with regulatory requirements, Bitfinex has announced that it will continue its policy towards residents of the UK. Users joining the platform from November 1, 2023, will no longer be eligible for individual account verification to align with the UK legal framework.

Corporate Customers: New Verification Rules

To enhance compliance, Bitfinex will cease to accept verification applications from UK corporate entities, excluding applications that meet the definition of high net worth companies, unincorporated associations or trusts, or other relevant exemptions.

Impact on Existing Customers: Limited Service Access

Starting from January 10, 2024, certain existing UK customers of Bitfinex will face restrictions. These customers will be unable to make new deposits, open new contracts, or increase existing margin positions. However, they can still close or reduce positions and withdraw funds.

Service Limited to Specific Customers Only

The policy changes primarily affect two groups: all UK resident individuals and corporate customers who do not meet the exemptions under UK financial regulations. At the same time, corporate residents meeting high net worth criteria will remain unaffected, highlighting the targeted nature of these regulatory adjustments. Bitfinex expressed regret for any inconvenience these changes may cause, emphasizing its commitment to compliance and customer cooperation. This move signifies a significant adaptation to the evolving regulatory environment in the UK cryptocurrency market.

Regulatory updates in the UK