FCA Crypto Requirements: The UK Regime From October 2027

The UK is moving from a narrow crypto regime, in which the FCA supervises anti-money laundering controls and financial promotions, to full authorisation under the Financial Services and Markets Act 2000 (FSMA). The new regime takes effect on 25 October 2027, the FCA published its final rules on 30 June 2026, and firms that want to carry on regulated cryptoasset activities should apply by 28 February 2027.

What FCA crypto requirements apply today?

Two regimes apply now and continue until the new regime starts.

• Money laundering registration. The FCA became the anti-money laundering and counter-terrorist financing supervisor for cryptoasset businesses on 10 January 2020. Cryptoasset exchange providers and custodian wallet providers must be registered with the FCA under the Money Laundering Regulations before starting in-scope business. This is a registration for AML purposes, not authorisation to carry on regulated cryptoasset activities. The FCA sets out the position on its cryptoassets page.
• Financial promotions. On the same page, the FCA says qualifying cryptoassets came into the FCA's remit on 8 October 2023. The financial promotions regime applies to all firms marketing cryptoassets to UK consumers, wherever they are based. A promotion needs one of four routes: it is communicated by an authorised person; made by an unauthorised person and approved by an authorised person; communicated by an MLR-registered cryptoasset business relying on the article 73ZA exemption; or meets another exemption in the Financial Promotion Order.

What is changing from 25 October 2027?

The Treasury made the Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026 (SI 2026/102) on 4 February 2026. They come into full force on 25 October 2027 and bring a set of cryptoasset activities into the regulatory perimeter by amending the Regulated Activities Order. Among the new specified activities are:

• issuing a qualifying stablecoin;
• safeguarding qualifying cryptoassets (and relevant specified investment cryptoassets) on behalf of another person, and arranging for another to do so;
• operating a qualifying cryptoasset trading platform;
• dealing in qualifying cryptoassets as principal;
• dealing in qualifying cryptoassets as agent;
• arranging deals in qualifying cryptoassets; and
• making arrangements on behalf of another person for qualifying cryptoasset staking.

The Regulations also create regimes for public offers and admissions to trading of qualifying cryptoassets and for market abuse in cryptoassets. Anyone carrying on these activities by way of business in the UK will need authorisation unless an exemption, savings provision or transitional provision applies. The FCA's final perimeter guidance, PS26/18, published on 16 September 2026, helps firms work out whether they are in scope. The FCA says it plans to consult on further perimeter guidance changes in late 2026 and publish them in early 2027.

What are the FCA's final crypto rules?

On 30 June 2026 the FCA published its final rules and a package of policy statements, listed in its overview of the cryptoassets regime policy statements.

The FCA says the regime requires all firms to meet financial resilience requirements, including capital and stress testing, introduces market integrity rules on insider dealing and market manipulation, sets clear standards for stablecoins, and applies established consumer protection standards, including the Consumer Duty, where risks are comparable. It also warns that crypto remains high risk and that it cannot regulate away risk.

For deeper dives on each strand, see our explainers on permissions and perimeter, prudential readiness, stablecoin and custody readiness and admissions, disclosures and market abuse.

Key dates for crypto firms

How the gateway works: apply by 28 February 2027

The FCA's page on how the gateway will operate and its 30 September 2026 press release set out the rules that matter most:

• Apply in the window. The application period started on 30 September 2026 and will close on 28 February 2027. A firm that applies within it and has not been decided by the time the regime starts can use a saving provision to keep providing cryptoasset services until its application is finally determined. The FCA says such firms can continue providing services, including taking on new business. They must notify the FCA after full commencement.
• Applying late. Firms can still apply outside the window, but the FCA says it will not expedite assessment to make up for late submission. If not authorised before commencement, they enter the transitional provision, under which they can carry on the new regulated activities only as needed to perform pre-existing contracts, and cannot enter into new contracts with existing or new UK customers.
• Not applying. Firms that do not apply before the new regime commences must run off their UK cryptoasset business before commencement, and have no access to the saving or transitional provisions. The FCA also says that where a firm in the saving provision refers a refusal to the Upper Tribunal and the Tribunal upholds it, the firm enters the transitional provision to exit the UK market in an orderly way.
• New firms and existing firms. New firms must be authorised under FSMA with the relevant permissions. Firms already authorised under FSMA will need to vary their existing permissions, using the cryptoasset form for variation of permission applications.
• MLR-registered firms. There is no automatic conversion. They need authorisation under FSMA.
• Authorisation is not automatic. Firms have to show they meet the FCA's standards on consumer protection, safeguarding of customer assets, market integrity and financial resilience.

Applications are submitted on Connect and include an information document covering non-cryptoasset components and cryptoasset-specific sections driven by the business model, plus an updated financial data template. Pre-application support meetings are optional and free of charge, but the FCA does not give advice and says they do not guarantee a successful application. It rejects requests that lack meaningful supporting information.

How to prepare a crypto business for FCA regulation

The FCA's page on what you need to do sets out the steps. In summary:

1. Determine your perimeter. Use PS26/18 and the activity list above to decide whether you carry on, or intend to carry on, regulated cryptoasset activities in the UK.
2. Choose your authorisation type and permissions. New authorisation or variation of an existing permission, and the exact permissions that match your business model and risk profile.
3. Carry out a gap analysis. Compare current arrangements with the FSMA requirements, including prudential, safeguarding, governance, conduct, market abuse and financial promotions requirements, and identify where they need strengthening. Our crypto authorisation readiness tool is a quick first check.
4. Build a board-approved implementation plan. Name who is accountable, the changes needed, how they will be delivered and the completion dates.
5. Assess resources and costs. Estimate preparation, authorisation and ongoing compliance costs, including capital.
6. Apply early in the window. The FCA encourages firms to apply as soon as possible. A poor application risks rejection if minimum information is missing, delayed assessment or refusal.
7. Handle firm-specific changes. MLR-registered firms may be able to build on current systems and controls but need to assess changes in market conduct, customer treatment and senior leadership. FSMA-authorised firms should consider how the new activities affect permissions, business model, governance, and systems and controls.

How MEMA can help

MEMA supports crypto businesses through perimeter analysis, gap assessment and authorisation applications. See our cryptoasset regulatory readiness service, or begin with the crypto readiness tool.