Published on September 12, 2023 11:44 GMT+00:00edited on September 12, 2023 11:49 GMT+00:00

Delphi Labs general counsel Gabriel Shapiro warned that most crypto firms will struggle to comply with the new financial promotions regulations by the U.K. Financial Conduct Authority (FCA).

In a Sept. 11 post on X (formerly Twitter), Shapiro noted that strict compliance with the regulations may be feasible only for centralized exchanges and a select few established DeFi projects. However, he emphasized that even these entities could face challenges meeting the compliance requirements due to time constraints.

Shapiro further highlighted the financial challenges that might come with compliance. According to him, each project could require a minimum of $500,000 for legal counsel and development. He pointed out that covering these costs could necessitate reallocating funds from other …