UK Crypto ATM Fraud Sentences

Olumide Osunkoya has been sentenced to four years in prison for running a network of cryptocurrency ATMs without the necessary regulatory approval, marking the first criminal conviction in the UK related to unregistered cryptocurrency activities. The Financial Conduct Authority (FCA) announced on February 28 that Osunkoya operated these ATMs without the required permissions. Therese Chambers, the FCA's joint executive director of enforcement and market oversight, stated this sentencing sends a strong message that those who violate regulations and engage in illicit activities will face serious repercussions. Osunkoya was charged on September 10 for operating unregistered crypto ATMs at 28 different locations through his company, GidiPlus Ltd, from December 2021 to March 2022, resulting in transactions totaling £2.6 million (approximately $3.14 million). He subsequently transferred the ATMs from his company and operated up to 12 machines using a false identity to avoid detection, and he neglected to ensure they were not used for money laundering. He was also the first person in the UK to be charged for managing a network of illegal crypto ATMs and pled guilty to five charges on September 30.