FCA Guidance Lands Two Weeks Before UK Crypto Authorization Window Opens
The FCA has published perimeter guidance explaining how its new crypto regime will apply, ahead of applications opening on September 30. The rules cover issuing qualifying stablecoins, trading platforms, dealing and arranging deals, safeguarding cryptoassets, and staking. The regime starts on October 25, 2027, and firms applying by February 28, 2027 can keep operating while approvals are assessed. The framework has broad extraterritorial reach: overseas firms dealing with, arranging, or safeguarding cryptoassets for UK retail consumers are treated as doing business in the UK, while institutional-only activity and some use via UK-authorized intermediaries are largely excluded. Missing the February window could leave firms unable to onboard new customers before authorization. The FCA will consult again in October on areas including stablecoins, proprietary trading, market making, tech providers, DeFi, and financial promotions. DeFi will be assessed where there is an identifiable controlling entity, but no worked examples were given. Britain now has a full crypto rulebook and fixed commencement date, which may attract larger, compliance-focused firms.
