- Olumide Osunkoya pleaded guilty to FCA charges of unlawful provision and use of a cryptocurrency automated teller machine (ATM).
- Osunkuya, 45, is scheduled to be sentenced at a later date.
Olumide Osunkoya pleaded guilty to several charges related to the illegal operation of a cryptocurrency automated teller machine in the United Kingdom.
The Financial Conduct Authority said in a press release on September 30 that Osunkuya, 45, appeared at Westminster Magistrates’ Court and pleaded guilty to the first charge in relation to operating an illegal cryptocurrency ATM. announced that he had been found guilty.
Illegal cryptocurrency ATM operation
Among the charges, Osunkoya allegedly operated several cryptocurrency ATMs without registering them with the FCA. Eleven cryptocurrency depositories processed more than $2.6 million worth of cryptocurrency transactions between December 29, 2021 and September 8, 2023.
He is also alleged to have created and used false documents that led to his FCA approval being refused in 2021. In this way, a network of cryptocurrency ATMs was illegally set up and provided throughout convenience stores in the country.
Osunkuya failed to take customer due diligence measures and prosecutors alleged there was potential for money laundering through the machines. He was also charged with possession of criminal property.
“The court heard evidence that his machines were being used by people likely to commit money laundering or tax evasion. “Mr Osunkoya is suspected of having made a significant profit from this business,” the FCA said in a press release.
Police seized £19,540 in cash from the defendant, which law enforcement believes was the proceeds of an illegal ATM operation.
Osunkuya will be sentenced at a later date.
The UK is gradually opening up as a cryptocurrency-friendly country, with major legislation passed as lawmakers consider a cryptocurrency framework. However, the FCA has required strict registration from all providers due to its anti-money laundering measures.
In 2023, the FCA continued its crackdown on illegal cryptocurrency ATMs, carrying out 34 inspections across the country.