The Financial Conduct Authority (FCA) has criminally charged three finfluencers in the United Kingdom. They allegedly encouraged their social media followers to invest in foreign exchange (forex) through contracts for difference (CFDs), labelled high-risk products for retail traders.
FCA Names the Finfluencers
The three finfluencers – Charles Hunter, Kayan Kalipha and Luke Desmaris – face the charges individually and first appeared before Westminster Magistrates’ Court yesterday (Wednesday).
They all pleaded not guilty and will appear for a hearing on 8 October 2025.
The FCA argued that these finfluencers promoted CFDs “without having the authorisation to promote these investments.”
You may also like: Finfluencers Had a Good Run, but the Party may Fizzle Out
During a broad crackdown last June, the UK regulator acted against several finfluencers. At the time, the agency said its actions led to three arrests and criminal proceedings against three individuals, but without naming anyone. Now, the regulator has revealed that it was these three finfluencers.
The agency also sent seven cease-and-desist letters as part of its efforts to tackle “rogue finfluencers,” published 50 warning alerts, and invited four finfluencers for interviews.
In its latest press release announcing the charges against the three finfluencers, the FCA urged anyone who believed they had suffered loss due to their posts to come forward.
The British regulator also warned finfluencers in March last year to “stay on the right side of the rules” when using social media advertisements to promote investment products.
CFDs Are Risky, but Finfluencers Are Not Cautious
Although CFDs are heavily regulated in the UK, due to their complexity, they are considered “high-risk” products for retail investors. Because they are leveraged derivatives, they often attract investors who do not have a large enough portfolio to take a position in the market.
The FCA has strict leverage rules for regulated brokers and also mandates them to clearly show the percentage of losing customers on their websites.
“The FCA has previously said that 80% of customers lose money when investing in CFDs because of the risks,” the regulator noted. “They are often highly leveraged, which means they use debt to try and amplify returns, which can result in investors losing more than they invested.”
Meanwhile, the FCA is not the only regulator to target finfluencers. Multiple regulators have joined the drive to crack down on such social media personalities, who often tout risky products and present “lavish lifestyles, often falsely, to promote success.”
Interestingly, the UAE’s Securities and Commodities Authority (SCA) became the first to mandate a regulatory licence for individuals who produce financial content online. It targets those offering investment advice, market commentary, or financial promotions through digital channels.
The Financial Conduct Authority (FCA) has criminally charged three finfluencers in the United Kingdom. They allegedly encouraged their social media followers to invest in foreign exchange (forex) through contracts for difference (CFDs), labelled high-risk products for retail traders.
FCA Names the Finfluencers
The three finfluencers – Charles Hunter, Kayan Kalipha and Luke Desmaris – face the charges individually and first appeared before Westminster Magistrates’ Court yesterday (Wednesday).
They all pleaded not guilty and will appear for a hearing on 8 October 2025.
The FCA argued that these finfluencers promoted CFDs “without having the authorisation to promote these investments.”
You may also like: Finfluencers Had a Good Run, but the Party may Fizzle Out
During a broad crackdown last June, the UK regulator acted against several finfluencers. At the time, the agency said its actions led to three arrests and criminal proceedings against three individuals, but without naming anyone. Now, the regulator has revealed that it was these three finfluencers.
The agency also sent seven cease-and-desist letters as part of its efforts to tackle “rogue finfluencers,” published 50 warning alerts, and invited four finfluencers for interviews.
In its latest press release announcing the charges against the three finfluencers, the FCA urged anyone who believed they had suffered loss due to their posts to come forward.
The British regulator also warned finfluencers in March last year to “stay on the right side of the rules” when using social media advertisements to promote investment products.
CFDs Are Risky, but Finfluencers Are Not Cautious
Although CFDs are heavily regulated in the UK, due to their complexity, they are considered “high-risk” products for retail investors. Because they are leveraged derivatives, they often attract investors who do not have a large enough portfolio to take a position in the market.
The FCA has strict leverage rules for regulated brokers and also mandates them to clearly show the percentage of losing customers on their websites.
“The FCA has previously said that 80% of customers lose money when investing in CFDs because of the risks,” the regulator noted. “They are often highly leveraged, which means they use debt to try and amplify returns, which can result in investors losing more than they invested.”
Meanwhile, the FCA is not the only regulator to target finfluencers. Multiple regulators have joined the drive to crack down on such social media personalities, who often tout risky products and present “lavish lifestyles, often falsely, to promote success.”
Interestingly, the UAE’s Securities and Commodities Authority (SCA) became the first to mandate a regulatory licence for individuals who produce financial content online. It targets those offering investment advice, market commentary, or financial promotions through digital channels.
