On July 7, Ziglu, a UK-based crypto-friendly financial institution, entered special administration following significant financial distress. The firm, authorized by the Financial Conduct Authority (FCA) to issue electronic money and provide payment services, faced operational challenges that led to this intervention. David Shambrook and Damian Webb from RSM Restructuring Advisory LLP were appointed as special administrators to oversee the process.
While Ziglu offered a range of crypto asset products, including lending services, these offerings fell outside the FCA’s regulatory perimeter. However, the FCA maintained oversight of Ziglu’s compliance with anti-money laundering (AML) regulations, ensuring consumer protection remained a priority throughout the administration period.
In a proactive move to safeguard customers, the FCA imposed restrictions on certain Ziglu products on May 23, 2025. Subsequently, on June 17, Ziglu agreed to halt all payment and crypto asset operations, permitting users to withdraw their funds securely. This measured approach highlights the FCA’s commitment to maintaining stability within the UK’s evolving crypto financial landscape.