UK FCA Issues Final Crypto Authorization Guidance Ahead of Regime

The UK Financial Conduct Authority (FCA) has issued final guidance on when crypto activities require authorization under the country's new regulatory regime. The guidance covers issuing qualifying stablecoins, operating crypto trading platforms, dealing and arranging transactions, safeguarding cryptoassets, and arranging crypto staking. Firms must determine whether their activities fall within the regulatory perimeter and which permissions they need to operate.

The FCA will open applications for authorization on September 30, with a deadline of February 28, 2027, for firms seeking transitional arrangements ahead of the new regime taking effect on October 25, 2027. The regulator plans to consult on further changes to its perimeter guidance later this year.

Barclays and HSBC UK have imposed limits or blocks on payments to cryptocurrency exchanges. The FCA said existing registration under anti-money-laundering rules will not automatically convert into authorization under the new system.