UK Crypto Advertising Rules: What FCA Restrictions Mean for Investors and Firms

Since October 8, 2023, advertising crypto in the UK has changed forever. If you’re a firm trying to reach UK consumers-or a regular person wondering why you’re seeing fewer crypto ads on TV-you need to know what’s really going on. The Financial Conduct Authority (FCA) didn’t just tweak the rules. It rewrote them. And the impact is felt everywhere: from social media banners to late-night radio spots.

What Exactly Did the FCA Ban?

The FCA didn’t ban crypto ads outright. But it made them almost impossible to run for most companies. Under the Financial Services and Markets Act 2000 (Financial Promotion) (Amendment Order) 2023, any promotion of fungible or transferable cryptoassets-like Bitcoin, Ethereum, or even fan tokens-now counts as a financial promotion. That means it’s treated the same way as promoting stocks, bonds, or derivatives.

Before this, many crypto firms could run ads with flashy claims like “Earn 15% daily!” or “Get rich quick with crypto.” Now, those ads are illegal. The FCA requires every single ad to include a personalized risk warning that’s at least 20% of the screen or print space. It can’t be buried in tiny text. It must be clear, simple, and tailored to the person seeing it. No more generic disclaimers like “Crypto is volatile.”

The 24-Hour Cooling-Off Rule

Here’s where it gets even stricter. If you click on a crypto ad, sign up, or even start filling out a form, the firm can’t let you invest right away. There’s a mandatory 24-hour cooling-off period. You have to wait a full day before you can transfer money or confirm a trade. This isn’t a suggestion. It’s a legal requirement.

Why? Because the FCA found that most retail investors who lost money in crypto did so on impulse. They saw an ad, got FOMO, and clicked. The cooling-off rule forces a pause. It’s designed to stop people from acting emotionally. Firms now need tech systems that lock transactions for 24 hours after initial contact. Many small platforms couldn’t build this fast enough-and walked away from the UK market.

Who Can Even See These Ads?

On October 3, 2024, the Broadcast Committee of Advertising Practice (BCAP) added another layer. Rule 14.5.5 bans crypto ads from appearing on mainstream TV, radio, billboards, or general websites. That means no more crypto ads during the Premier League, on YouTube before a music video, or on Facebook feeds.

The only places crypto ads are allowed are on specialized financial channels-like Bloomberg TV, Financial Times digital platforms, or investor-focused podcasts. But even then, the audience must be pre-vetted. The firm must prove you’ve passed their appropriateness test. That means showing you have experience trading leveraged products, understand market volatility, and know how crypto works. It’s not enough to say you’re “interested.” You have to prove you’re qualified.

What Firms Must Do to Stay Legal

If you’re a crypto firm operating in the UK, you now need:

• A system that generates personalized risk warnings based on each user’s profile
• A 24-hour transaction lock after any initial interaction
• A client categorization process that separates retail investors from professionals
• Appropriateness assessments for every single potential investor
• Records of every ad, every warning, and every customer interaction kept for at least five years

The FCA doesn’t just check if you have these systems. They audit them. In their first compliance review, they found “multiple instances where firms did not meet the required standards.” Many firms thought they could copy what others were doing. The FCA told them: “Don’t benchmark against industry peers. We’ve seen poor practice everywhere.”

What Happens If You Break the Rules?

The FCA doesn’t warn twice. If you run a non-compliant ad, you could face fines up to 10% of your annual turnover. That’s not a slap on the wrist. For a small exchange, that could mean millions. The FCA has already issued multiple enforcement notices. Some firms have been forced to stop all UK marketing while they fix their systems.

Even worse, your compliance with these rules now affects your ability to get full FCA authorization. The FCA’s May 2025 Discussion Paper (DP25/1) made it clear: if you can’t follow the advertising rules now, you won’t get licensed to operate in the future. This isn’t just about ads-it’s about whether your company survives in the UK.

What About Crypto ETNs?

There’s one exception. Exchange Traded Notes (ETNs) that track crypto prices are now allowed for retail investors-but only if they’re traded on FCA-approved UK exchanges like the London Stock Exchange. These ETNs aren’t direct crypto ownership. They’re financial instruments, and they come with their own set of rules. Firms promoting them still need risk warnings and appropriateness checks. But at least they’re not banned from mainstream channels entirely.

Still, even these aren’t protected by the Financial Services Compensation Scheme (FSCS). If the issuer goes bust, you lose everything. The FCA is very clear: crypto investments are high-risk. No safety net exists.

How Does the UK Compare to Other Countries?

The UK’s approach is one of the strictest in the world. The EU’s MiCA framework, which took effect in June 2024, allows broader advertising as long as disclaimers are included. Switzerland has almost no restrictions. Singapore permits ads with simple risk warnings.

The UK chose a different path. Instead of trying to make crypto look safe, they made it hard to advertise. The goal isn’t to stop crypto. It’s to stop people from being misled. The FCA’s message is simple: if you don’t understand the risks, you shouldn’t be seeing the ads.

What’s Next?

The FCA isn’t done. Their May 2025 Discussion Paper outlines a full regulatory framework for crypto trading platforms, lending, staking, and DeFi. They’re still gathering feedback until June 13, 2025. But one thing is clear: the UK is building a system where crypto can exist-but only if it plays by strict, consumer-first rules.

Firms that adapt will survive. Those that try to cut corners won’t. And for everyday investors? The ads might be gone, but the protection is real. You won’t see another “Get Rich with Solana!” billboard. But you also won’t lose your life savings to a misleading tweet.