UK Regulators Probe Banks' Use of Encrypted Messaging Apps Following US Fines.

The Financial Conduct Authority (FCA) in the UK has requested banks to report breaches of their policies regarding encrypted messaging apps such as WhatsApp, Signal, and Telegram. This move comes after US regulators imposed fines totaling over $2 billion on major banks for failing to properly monitor potential market abuse through these 'off-channel' communications.

The investigation in the UK aims to assess how these encrypted messaging apps are being used in the financial sector and whether they pose risks for market abuse or other regulatory violations. Major banks like JPMorgan, Bank of America, and Goldman Sachs have already faced significant penalties in the US for similar issues.

Report by Financial News London