Matthew Long, head of payments and digital assets at the UK’s Financial Conduct Authority (FCA), said that after the UK’s cryptocurrency financial promotion rules come into effect on October 8, it will be prohibited to promote investment in digital assets through airdrops of free NFTs or cryptocurrencies.
Matthew Long said that these free NFTs and airdrops, when used to invest in crypto products, may lead consumers to buy cryptocurrencies that they realize may have problems later. But cryptocurrency airdrops and NFTs themselves will not be banned, just promotional activities involving airdrops.
In addition, Matthew Long also said that the FCA’s focus is on six key areas, including dealing with fraud and cross-border risks mentioned in the recent report issued by the international securities regulator IOSCO to address investor protection and market integrity issues.