Crypto exchange Crypto.com is facing scrutiny from Polish authorities. The Polish Financial Supervision Authority (KNF) issued a warning about Foris DAX MT, an affiliate of Crypto.com.
Warning from Polish Authorities
The KNF stated that Foris DAX MT might be operating in Poland without the necessary license to provide financial services. However, this is not a ban but a warning to investors about potential risks in using the Crypto.com brand.
Crypto.com's Response
Crypto.com CEO Kris acknowledged awareness of the update from KNF and mentioned they are working closely with legal counsel to resolve any regulatory queries. In his tweet, he said, 'We are working to resolve all regulator queries.'
General Regulatory Challenges
The KNF frequently issues warnings about the risks of using unlicensed platforms. Currently, over 400 companies are listed as unlicensed operators. The regulator has notified the Warsaw Regional Prosecutor's Office about potential violations by Foris DAX MT.
Crypto.com's issues with Polish regulators highlight the importance of compliance with local requirements for cryptocurrency companies. Securing timely licenses and certifications remains a key challenge for platforms.
