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FCA Publishes Five Cryptoasset Policy Statements, UK Regime Effective October 2027

On 30 June 2026, the UK Financial Conduct Authority published five simultaneous policy statements establishing a comprehensive cryptoasset regulatory regime under FSMA 2000. Covered activities span trading venues, intermediation, stablecoin issuance and custody, and cryptoasset lending. Firms must apply for authorisation between 30 September 2026 and 28 February 2027; the mandatory regime takes effect 25 October 2027.

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The FCA published its final cryptoasset regulatory framework on 30 June 2026, comprising five simultaneous policy statements issued under the Financial Services and Markets Act 2000, as amended by the Financial Services and Markets Act 2023. The framework is final and takes mandatory effect on 25 October 2027; it replaces the registration-only anti-money laundering supervisory regime that has applied to UK cryptoasset firms since January 2020.

The statutory basis is the Financial Services and Markets Act 2000, extended to regulated cryptoasset activities by statutory instrument under the Financial Services and Markets Act 2023. The five policy statements address: (i) cryptoasset trading venues; (ii) intermediation and broking; (iii) stablecoin issuance; (iv) stablecoin custody; and (v) cryptoasset lending and borrowing. Market integrity rules are anchored in Part 8 FSMA 2000 as extended by order to cover cryptoassets, prohibiting insider dealing and market manipulation across all covered activity classes. Capital requirements and liquidity stress testing obligations apply to each licensed activity category.

Cryptoasset service providers, trading platform operators, stablecoin issuers, and custodians must apply for FCA authorisation between 30 September 2026 and 28 February 2027 to continue operating lawfully after 25 October 2027. Firms currently registered under the money laundering regulations are not grandfathered and must file fresh FSMA authorisation applications. Stablecoin issuers must maintain fully liquid reserves backing 100% of outstanding issuance and publish monthly attestations. All authorised firms must meet minimum capital thresholds and conduct ongoing liquidity stress testing.

The FCA confirmed it will consult separately on technical standards for cryptoasset lending and borrowing before the mandatory regime commences, leaving those detailed rules outstanding as of July 2026. Overseas firms that currently passport cryptoasset services to UK clients face a separate analysis under the overseas persons exclusion, which the FCA has not yet extended to cover the new regulated activities. Firms that miss the application window and have not obtained authorisation by 28 February 2027 must cease regulated cryptoasset activities until authorisation is granted.

Licentium may advise on cryptoasset regulatory structuring and has a partner network to assist clients across the UK and EU. Firms assessing their obligations under the new regime, preparing FCA authorisation applications, or reviewing their existing registration status are welcome to contact us. Work we undertake includes cryptoasset licensing strategy, regulatory capital analysis, market abuse policy drafting, stablecoin reserve compliance structuring, and FCA authorisation support.

Source: FCA, Overview of the Cryptoassets Regime Policy Statements, 30 June 2026

Crypto Regulatory

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