FCA Opens Authorisation Process for Crypto Firms
The Financial Conduct Authority (FCA) has opened its authorisation process for crypto firms, marking a significant shift towards full UK regulation. From today, cryptoasset firms can apply for FCA authorisation ahead of a new regulatory regime due to take effect on 25 October 2027. To continue operating in the UK, firms must apply by 28 February 2027 and demonstrate they meet standards on consumer protection, safeguarding, market integrity, and financial resilience.
The FCA has emphasized that authorisation will not be automatic, and firms failing to meet requirements will be unable to offer regulated cryptoasset services in the UK. The regulator has also offered support through pre-application meetings and webinars to help firms prepare for the process.
Emma Banymandhub, chief executive of The Payments Association, welcomed the launch but urged firms not to underestimate the challenge of securing approval, noting that 'consumers will have greater transparency and access to a formal complaints process, while firms will have greater clarity on how the regime applies to their businesses.'