Does Crypto Facilities provide investment advice?
We do not provide investment advice. None of the materials on our website and none of our correspondence with you should be interpreted as a recommendation in relation to becoming an MTF Member or engaging with Crypto Facilities. You should seek advice from an independent and suitably licensed financial advisor and ensure that you have the risk appetite, relevant experience and knowledge before you decide to trade.
What are the membership eligibility criteria?
As an FCA authorised MTF operator, Crypto Facilities is required to provide transparent, non-discriminatory and objective member eligibility criteria in line with the FCA’s requirements. In summary, our members can be individuals or investment firms, who: (a) are of sufficiently good repute; (b) have a sufficient level of trading ability, competence and experience; (c) where applicable have adequate organisational arrangements; (d) have sufficient resources for the role they are to perform on CRYP; and (e) do not appear on the Crypto Facilities’ Persons of Significant Influence Register.
If you are a corporate entity, you must be either incorporated/established in the United Kingdom or in a jurisdiction where Crypto Facilities is permitted to carry on cross-border business, excluding jurisdictions where Crypto Facilities has elected not to conduct business. This includes both (a) regulated investment firms, credit institutions, or other financial institutions authorised to deal in, or act as a Broker in relation to, financial instruments; and (b) unregulated persons who are not legally required to be authorised to deal in, or act as a Broker in relation to, financial instruments, in the jurisdiction in which they operate.
The member eligibility criteria are set out in our Crypto Facilities MTF Rulebook. Crypto Facilities will assess your eligibility after you apply to become a Member of CRYP, as part of our onboarding process. Post on-boarding, we are required to carry out on-going monitoring of continued member compliance with our member eligibility criteria.
Can individual or retail traders be MTF members on Crypto Facilities?
No. MTF memberships are only offered to institutional investors who meet the correct requirements. This is because in the UK, cryptoasset derivatives cannot be legally offered to retail clients. If Crypto Facilities offers an MTF membership to any person who is later revealed to be a retail client, Crypto Facilities may terminate that membership immediately. If you are unsure whether you will meet the requirements to be an MTF member, please contact us.
Is Crypto Facilities obliged to match my orders?
No. We reserve the right to refuse an offer to trade via the platform at our sole discretion. We also reserve the right to cancel a previously accepted, but unmatched, offer at our sole discretion or to roll back trades we deem to have happened erroneously.
Are my deposits protected by the Financial Services Compensation Scheme?
In certain circumstances and depending on the services(s) provided to you, you may be covered by the Financial Services Compensation Scheme (the FSCS). Generally, however, professional clients and eligible counterparties are less likely to be eligible to claim under the FSCS. In addition, cryptoassets are not covered by the FSCS.
How much money can I lose?
By trading on the platform, you can lose up to the entire deposits sitting in your margin accounts, for instance if a trade moves against you. However, you cannot lose more than that.
What are the risks associated with using the platform?
When using the platform, you may suffer a loss if:
- prices move against you;
- the platform becomes temporarily unavailable or otherwise malfunctions
- your trade counterparty does not post sufficient margin to cover any profits you make
- you want to close out a position prior to maturity but there is insufficient liquidity to do so; or
- you do not operate the platform correctly, for instance by withdrawing digital assets to an address you do not control.