UK FCA Opens Consultation on Crypto Rules Ahead of 2027 Regime

The UK Financial Conduct Authority (FCA) has launched a consultation on proposed guidance for the country's future cryptoasset regime, as the UK prepares to roll out a comprehensive regulatory framework on October 25, 2027. The consultation runs through June 3, 2026. The FCA said the guidance is intended to help firms assess operational impacts and navigate compliance expectations across key activities, including stablecoin issuance, crypto trading, custody and staking. The regulator reiterated its ambition to build a "competitive and sustainable" crypto market that allows compliant firms to serve UK users more effectively. The FCA also said the application window for crypto business authorization is expected to open in September 2026 and stay open until February 2027. Going forward, all firms providing cryptoasset services will need authorization under the Financial Services and Markets Act (FSMA). Prior registration under anti-money laundering regimes will not provide an automatic exemption. The move is widely viewed as a major milestone in the UK's phased build-out of crypto regulation, marking a faster shift from partial oversight toward a full licensing framework.