FCA Unveils UK Crypto Rulebook with Lower Capital Requirements
The UK's Financial Conduct Authority (FCA) has released a comprehensive digital asset rulebook, effective June 30, 2026. This framework covers stablecoins, trading platforms, custody providers, market abuse, and capital requirements.
Key changes include lower capital buffer requirements for the largest stablecoin issuers, reduced from 2% to 1% of customer assets. This reduction frees up significant resources for business growth, with a hypothetical issuer managing £10 billion in customer funds holding £100 million in capital instead of £200 million.
The FCA also removed retail and business holding caps for stablecoins. However, the Bank of England has established a £40 billion issuance threshold per issuer to address systemic risks associated with deposit migration.