A UK court has sentenced Olumide Osunkoya to four years in prison for operating an unregistered crypto ATM network.
The 46-year-old faced charges related to running crypto ATMs through his company, GidiPlus, with machines installed at multiple locations across the UK.
According to authorities, Osunkoya set up a £2.5 million ($3.2 million) crypto ATM business despite being denied registration by the Financial Conduct Authority. The FCA filed charges against him in early September 2024, and he pleaded guilty to six counts on September 30, 2024.
On Feb. 28, the court convicted him of unregistered crypto activity, forgery, possession and use of false identity documents, and criminal property possession.
Court documents revealed that Osunkoya operated his unregistered crypto business between December 2021 and March 2022. The FCA noted that he made significant profits, charging markup fees between 30% and 60% on transactions.
“Your decision to continue to operate illegally was an act of deliberate and calculated defiance to the regulator,” His Honour Judge Perrins said during sentencing.
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The judge further noted that Osunkoya went to “great lengths to create a false identity,” making his case more than a mere regulatory breach.
“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, executive director of enforcement at the FCA.
Osunkoya’s guilty sentence comes as the FCA looks to intensify its crackdown on illegal crypto related operations and services.
The financial markets watchdog mandates all providers seeking to offer digital asset services and products in the country to register. FCA also requires that providers adhere to anti-money laundering guidelines and checks, a fact the agency says the crypto ATM provider failed to comply with.
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