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FCA warns UK citizens about Solana-based memecoin trading at $0.08

FCA warns UK citizens about Solana-based memecoin trading at $0.08

GrafaGrafa2024/12/18 02:20
By:Isaac Francis

The UK’s Financial Conduct Authority (FCA) issued a warning on December 16, 2024, about the Solana-based (CRYPTO:SOL) memecoin "Retardio" (CRYPTO:RETARDIO).

The FCA raised concerns over unauthorised financial activities associated with the project, advising UK consumers to avoid dealing with it.

The FCA noted that the token might be promoting or offering financial services without proper authorisation.

The regulator urged citizens to engage only with firms that are authorised by the FCA, ensuring adequate consumer protection.

The Retardio project includes a Solana-based non-fungible token (NFT) collection, which has reportedly generated $31 million in lifetime sales, according to CryptoSlam.

The project’s associated memecoin, trading under the ticker "Retardio," has a market value of approximately $0.08 and a market cap of $87 million, based on data from Dexscreener.

In addition, the FCA warned that UK users involved with the Retardio project would not be eligible for the Financial Ombudsman Service (FOS), which handles complaints between consumers and financial service providers.

The regulator also pointed out that consumers would not have access to the Financial Services Compensation Scheme (FSCS), a safety net for individuals in the event that a financial firm goes out of business.

"That means it’s unlikely you’d get your money back if the firm goes out of business," the FCA stated.

The FCA urged the public to verify whether firms are authorised by checking the official FCA registry and to report any unauthorised firms through official channels.

“We issued a warning against the UK’s financial regulator,” the Retardio project humorously addressed in response to the warning.

According to Animoca Brands Chairman Yat Siu, memecoins reflect the value of user attention, a concept tied to Web3 and the NFT culture.

At the time of reporting, the price of Solana (SOL) was $223.05.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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