UK Crypto Firms Must Apply by 2027 Deadline for New Regulatory Regime
The UK's Financial Conduct Authority (FCA) has opened its doors to cryptocurrency companies seeking authorization ahead of a new regulatory regime set to take effect in October 2027.
Firms have until February 28, 2027, to apply for FCA authorization before the new rules kick in on October 25, 2027. The new regulations will bring a broader range of digital asset activities under FCA oversight and cover areas such as trading, transactions, staking, and digital asset custody.
The application process is not a rubber stamp, with firms required to demonstrate that they meet requirements covering consumer protection, customer-asset safeguarding, market integrity, and financial resilience. Existing crypto firms cannot simply carry their current regulatory status into the new system, with registration under the Money Laundering Regulations not automatically converting into FCA authorization.
The CEO of The Payments Association, Emma Banymandhub, welcomed the move, stating that it 'moves policy into practical delivery' and reflects member calls for 'proportionate regulation that protects consumers without unnecessarily constraining innovation and growth.'