A U.K. court has sentenced Olumide Osunkoya to four years in prison for illegally operating cryptocurrency automated teller machines (ATMs) without proper regulatory approval. The ruling marks the first criminal sentencing for unregistered crypto activity in the U.K. and signals a growing crackdown on illicit digital asset services.
Crypto ATM Business Operated Without FCA Registration
Osunkoya, 46, ran his crypto ATM business through his company, GidiPlus, installing machines at multiple locations across the U.K. Despite being denied registration by the Financial Conduct Authority (FCA), he proceeded to set up a £2.5 million ($3.2 million) business, charging transaction markup fees between 30% and 60%.
The FCA launched legal proceedings in September 2024, charging Osunkoya with six offenses. He pleaded guilty on September 30, 2024, and was convicted on February 28, 2025, on the following counts:
- Unregistered crypto activity
- Forgery
- Possession and use of false identity documents
- Criminal property possession
Deliberate Defiance of Regulations
During sentencing, His Honour Judge Perrins highlighted Osunkoya’s intentional disregard for regulations, stating:
“Your decision to continue to operate illegally was an act of deliberate and calculated defiance to the regulator.”
The court also noted that Osunkoya went to great lengths to create a false identity, making his case more than just a regulatory violation.
FCA’s Crackdown on Illegal Crypto ATMs
Osunkoya’s sentencing reflects the FCA’s intensified enforcement against unregistered crypto businesses.
“This is the UK’s first criminal sentencing for unregistered crypto activity and sends a clear message: those who flout our rules, seek to evade detection and engage in criminal activity will face serious consequences,” said Therese Chambers, FCA’s executive director of enforcement.
The regulator mandates that all digital asset service providers comply with anti-money laundering (AML) regulations and secure FCA registration. As part of its enforcement, the FCA has aggressively shut down unregistered crypto ATMs, reducing their numbers in the U.K. from 80 in 2022 to zero in 2024.
Global Crypto ATM Landscape
While the U.K. has eliminated all crypto ATMs, data from CoinATMRadar shows there are currently over 37,200 crypto ATMs operating in 69 countries. The United States leads the market, hosting over 29,700 of these machines.
Conclusion
Osunkoya’s case underscores the risks of operating unregistered crypto businesses in the U.K. and the FCA’s commitment to enforcing compliance. As regulators continue tightening controls, the crypto industry faces increasing scrutiny, particularly in areas related to financial crime and anti-money laundering efforts.
