Chelsea have declared themselves "very disappointed" that FIFA's appeal committee have not overturned the club's transfer ban.
The Blues have announced that they will now take their appeal to the Court of Arbitration for Sport, stating that they "categorically" refute the findings.
A Chelsea statement read: "The club notes that the FIFA appeal committee has decided to partially uphold the appeal lodged by Chelsea FC against the decision of the FIFA disciplinary committee.
"However, the club is very disappointed that the transfer ban of two consecutive registration periods was not overturned.
"Chelsea FC categorically refutes the findings of the FIFA appeal committee. It acted in accordance with the relevant regulations and will appeal the decision to the Court of Arbitration for Sport."
Chelsea transfer ban upheld by FIFA as Blues lose appeal
FIFA had announced on Wednesday that they had upheld the club's one-year transfer ban.
Chelsea were fined 600,000 Swiss francs ($589,970) and sanctioned in February in relation to 29 cases where regulations relating to the international transfer and registration of players under the age of 18 were breached.
As such the Blues are unable to register new players in each of the next two transfer windows, meaning Christian Pulisic is set to be their only new face before the summer of 2020.
A FIFA statement said: "The FIFA Appeal Committee has decided to partially uphold the appeal lodged by Chelsea FC against the decision of the FIFA Disciplinary Committee to sanction the club with a ban on registering new players at both national and international level for the next two complete and consecutive registration periods."
FIFA had initially investigated more than 100 cases involving Chelsea, going back several years, but only charged the Blues with 92 breaches of article 19 - the rule prohibiting the registration of minors - and other charges related to the club having third-party influence over other club's players.
Chelsea successfully defended themselves in 63 of these cases at a disciplinary committee but were found guilty of 29 illegal transfers.
The decision, which was not completely unexpected, now sees the Premier League side head to the Court of Arbitration for Sport in a final bid to overturn the ban.
In the meantime, the Blues appeal to CAS will see them seek also to have the ban frozen while the issue is ongoing - which could allow them to sign players this summer.
