New crypto platforms appear every week, and not all of them are what they claim to be. If you have landed on an unfamiliar exchange or app and want to know whether it is safe to use, this checklist walks you through the checks that actually matter, in the order that matters most.
Why This Matters More in the UK Than You Might Think
Crypto itself is not banned in the UK, but advertising and running a crypto business is tightly controlled. Any firm carrying out crypto activities in the UK must be registered with the Financial Conduct Authority (FCA) under the Money Laundering Regulations, as set out in the FCA’s own guidance on who needs to register. If a platform skips this step, that alone is a strong warning sign.
We looked at a real example on this site in our guide to Crypings Com, where readers were searching for basic information about a platform before deciding whether to trust it. That search behaviour is exactly why this checklist exists.
Step 1: Check the FCA Register
Go to the FCA’s official Financial Services Register and search the company’s exact name, not just the brand shown on its website. Firms sometimes trade under a consumer-facing name that differs from their registered entity. If nothing comes up, treat that as a red flag rather than an oversight.
Be aware that FCA registration for crypto firms currently covers anti-money-laundering supervision. It is not the same as full financial authorisation, and it does not mean your money is protected the way a bank deposit would be. Genuine platforms will still be upfront about this distinction rather than implying full regulatory protection.
Step 2: Look for the Mandatory Risk Warning
UK-registered crypto firms are required to display a clear risk warning wherever they promote their services. If a platform’s marketing only talks about gains and never mentions risk, that is inconsistent with how a compliant UK business is expected to communicate.
Step 3: Verify the Company Behind the Website
Scroll to the footer and look for a company name, registration number, and a physical address. Search that company name independently, away from the exchange’s own website, and see what turns up. A total absence of ownership information, or a company that was only registered a few weeks ago while claiming years of experience, both deserve extra scrutiny.
Step 4: Read Independent Reviews, Not Just Testimonials
Testimonials on the platform’s own site tell you nothing. Search the platform’s name alongside words like “review” or “withdrawal problem” on a search engine and on independent forums. A pattern of complaints about being unable to withdraw funds is one of the most reliable warning signs in crypto.
Step 5: Be Wary of Guaranteed Returns
No legitimate exchange or investment can guarantee a fixed return on crypto. Prices move, and anyone promising a set percentage profit, especially within a short timeframe, is describing a Ponzi structure rather than a trading platform.
Step 6: Test Withdrawals Before You Commit Serious Money
Before depositing a meaningful amount, send a small deposit and immediately try to withdraw it. Genuine platforms process withdrawals without unexpected fees, delays, or requests for further deposits. If a platform asks you to pay a “release fee” or “tax” before it will release your own funds, stop immediately. This is a common tactic used by fraudulent sites.
Quick Reference Checklist
- Company name matches an entry on the FCA register
- Clear, prominent risk warning displayed on the site
- Verifiable company details in the footer
- Independent reviews exist, and are not overwhelmingly negative
- No guaranteed or fixed returns advertised
- Small test withdrawal processed without issues
Frequently Asked Questions
Does FCA registration mean my crypto is protected?
No. FCA registration for crypto firms mainly covers anti-money-laundering checks. Crypto held on an exchange is not covered by the Financial Services Compensation Scheme, so you should still treat any exchange balance as being at risk.
What should I do if I think I have used a fake exchange?
Stop sending money immediately, take screenshots of your account and any correspondence, and report the platform to Action Fraud and the FCA. If you paid by card, contact your bank about a possible chargeback.
Are all unregistered platforms scams?
Not necessarily, but using one means you have no UK regulatory recourse if something goes wrong. Weigh that risk carefully before depositing funds.
This article is for general information only and is not financial advice. Always do your own research before using any crypto platform, and never invest more than you can afford to lose.
