
New York, Illinois Ban Government Employees From Insider Trading on Prediction Markets
New York and Illinois have banned government employees from insider trading on prediction markets.

The UK's Financial Conduct Authority led raids on eight London locations suspected of illegal P2P crypto trading, issuing cease-and-desist orders. This operation aims to gather evidence for ongoing criminal investigations into money laundering.
Mentioned in this story
The UK's Financial Conduct Authority said Wednesday that it conducted its first coordinated raids targeting illegal peer-to-peer crypto trading, hitting eight London premises alongside tax authorities and organized crime units.
The Tuesday morning operation saw FCA officers issue cease-and-desist letters at each location, ordering traders to immediately halt unauthorized activities. The raids were conducted under the Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017.
Evidence obtained during the on-site inspections is now supporting criminal investigations, the regulator said. The coordinated action involved HM Revenue & Customs and the South West Regional Organized Crime Unit working alongside FCA enforcement teams. Senior officials from the agencies emphasized the criminal risks posed by unregistered operators.
"Unregistered peer-to-peer crypto traders operating in the UK are doing so illegally and pose a financial crime risk," said Steve Smart, executive director of enforcement and market oversight at the FCA, in a statement. "We will use our powers and work with partners to disrupt them."
Detective Inspector Ross Flay of the South West Regional Organized Crime Unit highlighted concerns about money laundering channels.
"By working with our colleagues at the FCA and HMRC, we are able to effectively target and disrupt unregistered peer-to-peer crypto traders operating illegally," Flay said. "As law enforcement, we want to stop these traders providing a route for criminals to move, disguise, and spend illegal money."
The raids represent a significant escalation in UK crypto enforcement. The FCA currently has zero registered peer-to-peer crypto traders or platforms operating legally in the country, meaning all P2P trading activity operates outside regulatory oversight.
P2P platforms typically allow users to exchange digital assets directly, often using cash or bank transfers. These characteristics have drawn increased scrutiny from financial regulators globally concerned about money laundering vulnerabilities. Tuesday's coordinated raids mark the FCA's first physical enforcement action targeting the sector after years of issuing warnings about unregistered crypto businesses.
Earlier this month, the FCA launched a consultation on regulated crypto activities, covering areas such as stablecoin issuance, trading platforms, custody, and staking. Crypto firms can begin applying for authorization from September 2026, with the full regulatory regime taking effect in October 2027.
The FCA conducted raids due to suspicions of illegal peer-to-peer crypto trading and the associated risks of unregistered operators.
Officers issued cease-and-desist orders at eight locations, requiring immediate cessation of unauthorized trading activities.
The operation involved HM Revenue & Customs and the South West Regional Organized Crime Unit alongside FCA enforcement teams.

New York and Illinois have banned government employees from insider trading on prediction markets.

Analyst warns Bitcoin could crash below $60,000 as bears dominate market.

Pope's warnings about AI might be AI-generated, says detection tool.

Treasury Secretary Bessent urges Congress to pass crucial crypto bill for U.S. leadership.

Google plans to spend up to $185 billion on AI and cloud infrastructure in 2023.

XRP is nearing a critical resistance at $1.53; failure could lead to a sell-off.
See every story in Crypto — including breaking news and analysis.
The consultation closes June 3, with final rules expected in summer 2026. DeFi and distributed ledger resilience rules will be addressed in separate consultations later in the year.