The UK’s Financial Conduct Authority (FCA) has formally alerted Premier League football clubs about the dangers of sponsoring unauthorized crypto and trading companies. The regulator highlighted that several of these firms use football sponsorships to target fans, potentially exposing them to significant financial risks without regulatory safeguards.
The FCA emphasized that unauthorized financial services operators could be breaching UK laws by conducting business without approval. Fans engaging with these platforms risk losing all their invested funds. The regulator has sent direct warnings to clubs, urging them to perform thorough due diligence on prospective sponsors. Failure to do so may leave clubs vulnerable to legal liabilities, reputational harm, and involvement in money laundering risks.
The rise in crypto-related sponsorship is notable, with firms like LAK3 Company sponsoring clubs such as Wolverhampton Wanderers, despite appearing on the FCA’s Warning List of unauthorized entities. While some major partners like BingX and OKX have agreements with top clubs Chelsea and Manchester City, these companies do not currently appear on the FCA’s official register of authorized firms. The FCA clarified that only authorized firms or those endorsed by authorized entities may promote financial products to UK consumers.
A BingX spokesperson confirmed that the company holds necessary regulatory approvals in the countries where it operates, though it remains unregistered with the FCA. The regulator has intensified its oversight of crypto marketing since including it under financial promotions rules in late 2023, issuing numerous alerts against unauthorized firms.
This increased scrutiny arrives amid a surge in crypto and online trading sponsorship deals in English football, where retail-facing platforms gain high-profile exposure through club partnerships. The FCA insists UK clubs maintain ongoing monitoring and vetting of sponsors to protect fans and uphold compliance.