Don't invest unless you're prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
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Due to the potential for losses, the Financial Conduct Authority (FCA) considers this investment to be high risk.
What are the key risks?
1. You could lose all the money you invest
The performance of most cryptoassets can be highly volatile, with their value dropping as quickly as it can rise. You should be prepared to lose all the money you invest in cryptoassets.
The cryptoasset market is largely unregulated. There is a risk of losing money or any cryptoassets you purchase due to risks such as cyber-attacks, financial crime and firm failure.
2. You should not expect to be protected if something goes wrong
The Financial Services Compensation Scheme (FSCS) doesn't protect this type of investment because it's not a 'specified investment' under the UK regulatory regime – in other words, this type of investment isn't recognised as the sort of investment that the FSCS can protect. Learn more by using the FSCS investment protection checker.
The Financial Ombudsman Service (FOS) will not be able to consider complaints related to this firm or Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA regulated firm, FOS may be able to consider it. Learn more about FOS protection here.
3. You may not be able to sell your investment when you want to
There is no guarantee that investments in cryptoassets can be easily sold at any given time. The ability to sell a cryptoasset depends on various factors, including the supply and demand in the market at that time.
Operational failings such as technology outages, cyber-attacks and comingling of funds could cause unwanted delay and you may be unable to sell your cryptoassets at the time you want.
4. Cryptoasset investments can be complex
Investments in cryptoassets can be complex, making it difficult to understand the risks associated with the investment.
You should do your own research before investing. If something sounds too good to be true, it probably is.
5. Don't put all your eggs in one basket
Putting all your money into a single type of investment is risky. Spreading your money across different investments makes you less dependent on any one to do well.
A good rule of thumb is not to invest more than 10% of your money in high-risk investments.
If you are interested in learning more about how to protect yourself, visit the FCA's website here.
For further information about cryptoassets, visit the FCA's website here.
We’ve collected together our best picks for cryptocurrency exchanges that are registered with the Financial Conduct Authority (FCA) in the UK. We’ve extensively reviewed them on aspects such as user experience, fees, payment methods and selection of coins to give you a head start in picking the right one for you.
What are the current rules on crypto in the UK
Cryptocurrency is unregulated in the UK. This means that it doesn’t fall under the regulations and laws set by the FCA. If you invest in cryptocurrency, there’s very little protection and high levels of risk. While there are plans to regulate crypto in the UK, this won’t be happening anytime soon.
As it stands, the current rules are that businesses “carrying on cryptoasset activity in the UK” need to register with the FCA to ensure compliance with anti-money laundering (AML) and counter-terrorist financing (CTF) laws. Below you’ll find a list of cryptocurrency exchanges that have done just that.
The other major rule is that the FCA has banned the sale of crypto-derivatives to retail customers.
Kraken is one of the longest-running platforms in the industry and has maintained its legacy by constantly improving its services. It is the 2023 Finder Award winner for Best Exchange Overall thanks to its broad range of features and quality service.
You can start building a cryptocurrency portfolio today from 200+ supported coins. Kraken is popular with over 9 million users and exceeds a daily trading volume of just over US$650 million, which makes it one of the world's largest exchanges. But for overall features and trading tools, Kraken blows everyone out of the water. It is clearly made for traders but it doesn't leave novices behind either.
Kraken has a broad range of advanced trading features. It prides itself on offering low spreads and providing deep liquidity across markets so you don't need to worry as much about slippage. This helped Kraken secure another Finder Award for Advanced Trading.
While new traders may feel daunted by the exchange at first, the large variety of guides can help anyone become knowledgeable about cryptocurrency, its underlying technology and the different forms of trading. Meanwhile, more experienced traders will appreciate Kraken's high-quality system and easy-to-use user interface (UI). They will be pleasantly surprised by how straightforward it is to trade, move crypto and manage assets.
Pros
200+ supported coins
Launched in 2013, one of the longest-running crypto exchanges
Low fees for active traders
Earn yield through staking
High-quality educational guides and tools
Registered as a crypto asset firm with the UK FCA as Payward Ltd
Cons
Some trading features unavailable to UK users
High fees for credit and debit card purchases
No crypto debit card available for spending, unlike some alternatives
Deposit methods
Bank transfer, Credit card, Cryptocurrency, Debit card, PayPal, Faster Payments (FPS), Apple Pay, Google Pay, SWIFT
Deposit fees
Cash: Free up to £21 depending on method of deposit Cryptocurrency: Mostly free but requires a minimum balance to deposit
Withdrawal fees
Cash: Free up to £35 depending on method of withdrawal (min. withdrawal £1) Cryptocurrency: Minimum withdrawal requirement and flat-rate withdrawal fee that varies for each cryptocurrency
CoinJar is hard to beat when it comes to value, which is why it's our pick for best-value exchange. There are no deposit fees, no withdrawal fees and a very low spread - a fee often hidden by crypto exchanges.
UK users can make GBP deposits and withdrawals without incurring any sort of charge. Trading on CoinJar comes with a small percentage fee, which is slightly higher if you purchase crypto using its Instant Buy option.
When it comes to trading on the CoinJar Exchange, both its taker and maker fees are kept comparatively low. Plus, the more you trade, the lower the fee. CoinJar also offers value to customers in other ways. For example, its crypto debit card allows users to spend their digital assets as well as earn CoinJar Rewards.
Pros
Registered as a crypto-asset firm with the UK's FCA
No deposit or withdrawal fees
Simple and easy-to-use platform
Instant card payments
Crypto debit card with rewards
Cons
Limited services for active trading
Wait time for withdrawals
Deposit methods
Bank transfer, Credit card, Cryptocurrency, Debit card, SEPA, Faster Payments (FPS), Apple Pay, Google Pay
Deposit fees
Cryptocurrency: Free FPS: Free Visa / Mastercard purchase: Free (2% for Instant Buy) Apple Pay / Google Pay purchase (Instant Buy): 2%
eToro uses its experience as an investing platform to make things easy for crypto newbies. This is why it won both the 2023 Finder Award for Beginners and the Finder Award for Instant Purchases. Its beginner-friendly interface makes buying and selling crypto quick and simple for someone just starting out.
eToro pioneered the concept of copy trading back in 2010. This feature allows you to view and mirror trades made by experienced investors. Getting started is easy – simply choose a trader you want to copy and then set your account to follow their trading moves.
With a minimum of US$200, you can automatically repeat trades from some of eToro's top-performing crypto traders. There is no additional fee charged for this service.
Meanwhile, if you want to try before you buy, you can practice with $100,000 using eToro's virtual portfolio. This allows you to learn about the market and hone your trading skills before doing it for real.
Pros
Unique copy trading feature
Trades UK and international stocks
Tiered membership options for advanced traders
Registered as a crypto asset firm with the UK FCA
Cons
Picking the right trader to copy can be difficult
Foreign exchange fees on GBP deposits
Higher spreads than other exchanges
Deposit methods
Bank transfer, Credit card, Debit card, eToro Money
Crypto.com has one of the largest lists of cryptocurrencies available to Brits and is the 2023 Finder Award winner for Altcoins. It has over 250 cryptocurrencies on offer and is constantly looking to expand its offering with new coins.
If you're looking for something a little more obscure, Crypto.com will have you covered. It has an extensive range of novel coins and tokens and keeps you updated on the coins launching in the market. Head to its Coin Launches page and you'll be able to find out about the latest offerings.
Crypto.com is more than just the variety of coins it has on offer. As the 2023 Finder Award winner for Extra Features, it offers useful services to its 80 million customers worldwide. For example, you can get a crypto card, explore its NFT marketplace or set up your own DeFi wallet.
Pros
Buy and sell 200+ cryptocurrencies
Clean, user-friendly mobile app
Supports recurring purchases
Earn passive income on your cryptocurrency
Registered as a crypto asset firm with the UK FCA
Cons
Staking CRO is required for the highest-yield rewards
Fees are higher than some competitors
Poorly rated customer service on Trustpilot
Deposit methods
Credit card, Cryptocurrency, Debit card, SEPA, Faster Payments (FPS), Apple Pay, Google Pay
Revolut is steadily becoming a one-stop shop for all things crypto. Since it was accepted into the FCA's full register of crypto asset firms, we've seen a series of new features such as the introduction of a crypto debit card and crypto staking.
The user-friendly digital app marries its current account services with its cryptocurrency features to create a seamless user experience. Customers can buy, hold and exchange 90+ cryptocurrencies in-app within seconds. Using funds from your Revolut e-money account, you can start investing almost immediately.
From the app, you will be able to choose which cryptocurrencies to invest in, set up recurring buys, send crypto to other Revolut users and take advantage of performance analytics to help you understand how your portfolio is performing. You can add a crypto spending mode to your existing Revolut prepaid card, which allows you to pay for purchases with instantly converted tokens.
Revolut also has a series of Learn and Earn modules to teach crypto basics to beginners. If you pass the quiz, you will receive a small amount of DOT, 1INCH or AVAX coins as a reward. Plus, you can now stake certain tokens to earn rewards on your cryptocurrency.
Pros
Educational resources
Earn free crypto
Swap multiple fiat currencies for crypto and vice versa
Registered as a crypto asset firm with the UK FCA
Cons
Higher transaction fees than dedicated crypto exchanges
Limited number of supported coins
Deposit methods
Bank transfer, Debit card, Apple Pay, Google Pay
Deposit fees
Free
Withdrawal fees
Fees vary, from £1
Trading fees
0.49% (Ultra plan), 0.99% (Premium or Metal plans), 1.49%/min. fee of £1.49 (Standard or Plus plans) plus spread Revolut X - 0% maker fees, 0.09% taker fees
Gemini has an in-house NFT marketplace, which is why it's our pick for the best exchange for NFTs. Nifty Gateway is one of the biggest NFT marketplaces in the world, best known for launching NFT collections by famous musicians.
Nifty Gateway provides an accessible way to buy, sell and store NFTs. It's a custodial platform, which means all the NFTs are stored in a secured wallet powered by Gemini's security technology. It also provides access to a good variety of popular collections, including CloneX.
Most NFT platforms require customers to pay in Ethereum, which can introduce crippling network or gas fees. But through Nifty Gateway, you can use your Gemini balance to purchase your chosen NFT, taking away the hassle of signing transactions and calculating gas fees. Nifty Gateway also covers gas fees when minting, buying and listing an NFT for sale.
Pros
In-house NFT marketplace
No gas fees for buying or minting
Fiat and cryptocurrency accepted
Registered as a crypto asset firm with the UK FCA
Cons
Experienced an NFT heist in March 2021
Heavy backlog in creator applications
Deposit methods
Debit card, Apple Pay, Google Pay, SWIFT
Deposit fees
Crypto: None Wire transfer: determined by your bank Debit card: 3.49%
Uphold offers a seamless user experience and a straightforward fee structure. On top of that, it has several exciting features like it’s debit card.
The card lets you spend crypto, national currencies and commodities wherever Mastercard is accepted. On top of this, you can benefit from 0% foreign transaction fees and low exchange rates. Making the Uphold card the perfect travel companion.
The ability to use crypto or national currencies gives you flexibility and freedom. You can also track your spending with real-time analytics. And if for some reason your card is misplaced, you can freeze your card using the app.
Pros
Access the value of your assets easily
Switching funding sources as often as you like
No fiat deposit/withdrawal fees
No foreign transaction fees
Cons
Likely to pay a spread if funding source is not the same
Crypto withdrawal fees unclear
Prices not locked in pre-trade
Cash withdrawals at ATMs incur a fee
Deposit methods
Bank transfer (ACH), Debit card, Apple Pay, Google Pay
Deposit fees
Free
Withdrawal fees
Debit card: 1.75% (min. £1) Apple Pay/Google Pay: Free Bank (FPS, SEPA): Free + Fee equivalent to $0.99 on selected blockchain networks + Fee equivalent to $0.99 on selected smaller trades (under $500)
Trading fees
0.25%-2.95% Spreads also apply
Full list of UK registered crypto exchanges
Exchange
Date it joined the register
Gemini
August 2020
Ziglu
September 2020
Solidi
July 2021
Coinpass
August 2021
CoinJar
September 2021
Kraken (Payward Ltd)
November 2021
Zumo
December 2021
eToro
January 2022
Uphold
February 2022
Crypto.com (Foris Dax UK Ltd)
August 2022
Revolut
September 2022
Bitstamp
June 2023
Is crypto investing legal in the UK?
Is it completely legal to purchase cryptocurrency in the UK. There are hundreds of different crypto coins you can invest in. The most common way to do this is through a cryptocurrency exchange like the ones listed in this guide.
How is crypto taxed in the UK
If you’ve made a gain on your crypto, the taxman will want a slice. Like other income or capital gains, you’ll have to pay tax on your crypto if you go over your tax-free allowance. And unfortunately, there is no “crypto ISA” just yet.
How much tax you’ll pay depends on the type of crypto gains or income and other gains you’ve made during the same tax year.
As cryptocurrency isn’t regulated, there are no outright bans on cryptocurrencies. However, the FCA has issued some guidance to exchanges to delist certain privacy coins like Monero (XMR).
Privacy coins have a specific focus on encryption and offer a higher level of anonymity. As a result, they are frequently used in money-laundering activities.
Any crypto exchange registered with the FCA has to adhere to anti-money laundering and counter-terrorism financing rules, so is unlikely to list a coin like Monero.
Bottom line
The cryptocurrency market is often considered the wild west of investing. While there is no regulation as yet, choosing a UK registered exchange means that you know it’s committed to certain guidelines and rules around money laundering. However, don’t mistake that for it having the other protections you’d get with regulated services.
Not all crypto exchange are created equal and not everyone wants the same thing. When comparing a UK registered exchange, make sure you do your own research.
Read our reviews to compare features, fees, pros and cons of each platform and think about whether they match your crypto investing ambitions.
Frequently asked questions
How safe a crypto exchange is depends on its security measures. When comparing exchanges, keep an eye out for things like 2-factor authentication, an insurance fund and cold wallet storage.
All centralised cryptocurrency exchanges are vulnerable to hacking, so make sure to look if an exchange has been hacked in the past – and if it was, whether it reimbursed customers. Alternatively, consider using a hardware wallet for extra security.
Crypto isn’t regulated, so you don’t get the protection you’d get with regulated services. There’s no financial insurance scheme in place like the Financial Services Compensation Scheme (FSCS).
You’ll find that some crypto exchanges have their own insurance policies in place to protect your cryptoassets from cybercrime. This is something to take a look at when choosing which exchange to use.
Some banks and building societies have banned or limited payments to cryptocurrency exchanges. They’ve said this is because of the high number of cryptocurrency scams and the risk that crypto presents to their customers.
However, there are still some crypto-friendly banks around. Take a look at our guide to find out which ones.
*Cryptocurrencies aren't regulated in the UK and there's no protection from the Financial Ombudsman or the Financial Services Compensation Scheme. Your capital is at risk. Capital gains tax on profits may apply.
Cryptocurrencies are speculative and investing in them involves significant risks - they're highly volatile, vulnerable to hacking and sensitive to secondary activity. The value of investments can fall as well as rise and you may get back less than you invested. Past performance is no guarantee of future results. This content shouldn't be interpreted as a recommendation to invest. Before you invest, you should get advice and decide whether the potential return outweighs the risks. Finder, or the author, may have holdings in the cryptocurrencies discussed.
Kate Steere is an editor at Finder, specialising in fintech, banking and cryptocurrency. She has previously written for The Motley Fool UK and Fitch Solutions, where she covered a wide range of personal finance topics and kept a close eye on market trends. Kate has a Bachelor of Arts in Modern History from the University of East Anglia. When not working, she can usually be found curled up with a good book or heading out for a run. See full bio
Kate's expertise
Kate has written 177 Finder guides across topics including:
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