U.K. Financial Regulator Aims for Crypto Regime by 2026

The
U.K.’s
FCA
is
trying
to
be
more
transparent
to
the
crypto
sector
after
months
of
uncertainty.

Updated
Nov
26,
2024,
12:08 a.m.

Published
Nov
26,
2024,
12:01 a.m.

The
U.K.’s
financial
regulator,
the
Financial
Conduct
Authority,
said
it
wants
to
implement
a
crypto
regime
by
2026
in
anticipation
of
growing
crypto
ownership
in
the
country.

A
road
map
released
by
the
FCA,
which
oversees
the
industry,
said
the
agency
plans
to
publish
discussion
papers
on
market
abuse
and
disclosures
by
the
end
of
this
year.
It
intends
to
have
papers
on
stablecoins,
trading
platforms,
staking,
prudential
crypto
exposure
and
lending
by
early
next
year.
The
regime
is
scheduled
to
go
live
after
the
final
policy
statements
are
published
in
2026.

An
FCA-commissioned
study
shows
ownership
of
crypto
assets
grew
by
4%
in
the
past
two
years,
to
include
some
7
million
adults
out
of
the
country’s
roughly
68
million
population.

The
road
map
follows
a
speech
by

Economic
Secretary
Tulip
Sidiq
last
week
that
promised
draft
regulation
for
cryptocurrencies,
stablecoins
and
staking
by
early
next
year.
That
was
the
first
sign
from
the
Labour
government
elected
in
July
of
how
it
plans
to
approach
the
crypto
industry.
The
roadmap
is
the
regulator’s
attempt
to
be
“transparent”
and
canvass
industry
support.

“We’re
committed
to
working
closely
with
the
Government,
international
partners,
industry
and
consumers
to
help
us
get
the
future
rules
right,”
said
Matthew
Long,
director
of
payments
and
digital
assets
at
the
FCA.

The
U.K.’s
crypto
regime
will
follow
after
the
European
Unions
Markets
in
Crypto
Assets,
or
MiCA,
regulations,
a
comprehensive
set
of
rules
for
crypto,
which
is
set
to
go
live
by
the
end
of
this
year.