TLDR:
- Olumide Osunkoya received a four-year prison sentence for operating unregistered crypto ATMs in the UK
- This marks the UK’s first criminal sentencing for unregistered crypto activity
- Osunkoya processed £2.6 million ($3.14 million) through 28 locations from 2021-2022
- He used fake identities and companies to evade detection after initial discovery
- The FCA’s 2023 crackdown reduced advertised crypto ATMs in the UK from 80 to zero
Olumide Osunkoya has been sentenced to four years in prison for operating a network of illegal cryptocurrency ATMs. The Financial Conduct Authority (FCA) made the announcement on February 28, 2025.
This case represents the first criminal sentencing for unregistered cryptocurrency activity in the UK. Osunkoya operated his network without the required regulatory approval from the FCA.
The court heard that Osunkoya ran crypto ATMs at 28 different locations through his company GidiPlus Ltd. This operation lasted from December 2021 to March 2022.
During this period, the machines processed £2.6 million (approximately $3.14 million) in transactions. Osunkoya failed to implement proper anti-money laundering checks for these transactions.
After the FCA began its investigation, Osunkoya tried to evade detection. He transferred the ATMs from his company and continued to operate up to 12 machines.
To avoid being caught, he used a fake name and created a shell company. This deliberate attempt to hide his activities added to the severity of his crimes.
The 46-year-old was charged by the FCA on September 10. He later pleaded guilty to five charges on September 30.
Other Crimes
Beyond the illegal operation of crypto ATMs, Osunkoya was also sentenced for other crimes. These included forgery of four bank statements to pass a source of wealth check at a crypto exchange.
He also created fake identity documents to establish a company under an alias. Additionally, he was found guilty of possessing criminal property – £19,540 ($24,567) in cash obtained from running the illicit ATMs.
Judge Gregory Perrins was clear about the nature of the crimes during sentencing at Southwark Crown Court in London. “Your decision to continue to operate illegally was an act of deliberate and calculated defiance to the regulator,” he told Osunkoya.
The judge emphasized the intentional nature of the violations. “Your actions were deliberate and carefully planned. It cannot be said that it is a mere regulatory breach.”
Therese Chambers, joint executive director of enforcement and market oversight at the FCA, highlighted the importance of this case.
“This sends a clear message: those who flout our rules, seek to evade detection and engage in criminal activity will face serious consequences.”
Osunkoya’s sentencing follows a major FCA enforcement initiative in 2023. The regulator worked with local police agencies across the country to shut down illegal crypto ATMs.
During this operation, the FCA visited 38 locations and removed 30 machines. The impact was dramatic – the number of crypto ATMs advertised on Coin ATM Radar dropped from 80 in 2022 to zero this year.
The FCA continues to warn consumers about the risks of cryptocurrency investments. In their statement about the case, they reminded the public: “If you buy crypto, you should be prepared to lose all your money.”
The regulator also pointed out that cryptocurrency remains largely unregulated in the UK. They described it as a “high risk” investment area for consumers.
This landmark case demonstrates the UK’s increasing focus on enforcing compliance within the cryptocurrency sector. It shows that operating outside regulatory frameworks can result in serious criminal penalties.
