Polish authorities have issued a warning regarding the operations of Foris DAX MT, the Malta-based entity behind Crypto.com, flagging potential regulatory concerns without enacting an outright ban. The Polish Financial Supervision Authority (KNF) alerted investors to the possible risks but did not blacklist the company, instead advising caution for those engaging with the platform.
KNF’s Warning and Regulatory Basis
The KNF’s public alert raises questions about Foris DAX MT’s compliance with Polish financial regulations. Jacek Bardzczewski, a director within the KNF, explained that Polish law mandates entities offering brokerage or investment services to have appropriate licensing. The KNF has formally notified the Warsaw Regional Prosecutor’s Office of a suspected violation under Article 178 of Poland’s Act on Trading in Financial Instruments, which requires regulatory approval for such activities.
The alert, however, does not impose restrictions on Crypto.com’s operations. Tomek Kolodziejczuk, a Polish Bitcoin advocate, clarified that the warning serves primarily as a public advisory. Currently, over 400 companies face similar warnings, but Crypto.com stands out as the largest on the list, attracting heightened public attention.
Crypto.com’s Response and Legal Actions
Crypto.com acknowledged the KNF’s advisory and stated that it is actively working with legal advisors to address the regulator’s concerns. In an official statement, a spokesperson confirmed that the team is engaging with counsel to resolve any questions surrounding the company’s services.
Meanwhile, Crypto.com’s CEO Kris Marszalek recently announced a lawsuit against the U.S. Securities and Exchange Commission (SEC). On Oct. 8, Marszalek shared on X (formerly Twitter) that the lawsuit addresses the SEC’s enforcement actions, which he claims have harmed over 50 million American crypto holders. Marszalek also vowed to push for clearer, industry-supportive regulations through legislative avenues.
Impact on Polish Investors and Next Steps
For Polish investors, the KNF’s alert is a reminder to proceed with caution. As the KNF awaits the Warsaw Regional Prosecutor’s Office’s review, the broader implications for Crypto.com’s operations in Poland remain uncertain. The outcome could impact investor confidence and potentially set new precedents for crypto regulation within the country.
