Former Copper Employee Launches Company to Help UK Crypto Firms Comply with Advertising Rules
Carly Nuzbach Lowery, a former employee of crypto custody firm Copper, has started a new company called Gateway 21 Ltd. The company aims to assist UK crypto firms in adhering to the Financial Conduct Authority’s (FCA) new rules for financial promotions. If approved, Gateway 21 will have the authority to approve marketing content based on the FCA’s guidelines.
Lowery, who previously served as Copper’s legal head, is financing Gateway 21 with her own funds. Several key executives, including the company’s chief marketing officer Nick Cooper, have also left Copper.
FSM Bill Gives FCA Power to Regulate Crypto Marketing
The Financial Services Markets (FSM) bill, recently passed, grants the FCA the power to implement new regulations regarding crypto promotion. These rules cover all promotional material, including website and app text. The bill also prohibits crypto firms from offering referral bonuses.
Companies that wish to advertise must be registered with the regulator or subcontract their marketing to an authorized firm like Gateway 21.
FCA Enhances Policies to Protect Investors
The FCA has expressed concerns about financial promotions that fail to meet its standards. It specifically highlighted influencers who promote products without fully understanding them. The regulator has urged technology companies to protect users from losing funds by heeding these so-called experts.
In response to the cost-of-living crisis in the UK, “finfluencers” have been promoting risky investments, including crypto derivative products.
FCA Cracks Down on Non-Compliant Advertisements
Last week, the FCA ordered lenders to remove or modify 400 non-compliant mortgage advertisements. These measures complement the Bank of England’s decision to maintain the borrowing rate at 5.25% after August’s inflation exceeded expectations.
Hot Take: Carly Nuzbach Lowery Launches Gateway 21 to Help UK Crypto Firms Comply with Advertising Rules
Carly Nuzbach Lowery, a former employee of Copper, has launched Gateway 21 Ltd., a company aimed at assisting UK crypto firms in complying with the FCA’s new rules for financial promotions. The recently passed FSM bill gives the FCA the authority to regulate crypto marketing, covering all promotional content and banning referral bonuses. The FCA has also tightened its policies to protect investors from misleading financial promotions and influencers who may not fully understand the products they promote. Additionally, the regulator has taken action against non-compliant advertisements. With Gateway 21, crypto firms can ensure compliance with advertising rules and avoid potential penalties or reputational damage.
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