Crypto firms can apply for FCA authorisation from today (30 September) as the regulator launches its new regime in what it described as ‘landmark moment’.
As party of the new regulatory framework the FCA has laid out clear standards for crypto firms covering consumer protection, safeguarding, market integrity and financial resilience.
All firms that intend to continue operating in the UK must apply for authorisation by 28 February 2027, ahead of the new regime coming into force on 25 October 2027.
The watchdog said firms will need to clearly demonstrate they meet the FCA’s requirements, and those that cannot show the necessary standards will not be authorised to operate in the UK market.
Dominic Cashman, director of authorisation at the FCA said: “The UK’s new crypto regime will give consumers greater protections and firms a clear framework to operate in. Firms can now apply for authorisation and start preparing for regulation.”
Emma Banymandhub, CEO of The Payments Association, welcomed the move and warned those already registered under the Money Laundering Regulations to treat it as a fresh authorisation process.
“Consumers will have greater transparency and access to a formal complaints process, while firms will have greater clarity on how the regime applies to their businesses and which activities may require FCA authorisation. A proportionate approach to implementation will also be important to creating the conditions for payment stablecoins to develop and supporting the UK’s ambitions as a competitive global hub for digital assets,” she said.
“We urge all firms, including those already registered under the Money Laundering Regulations, to treat this as a fresh authorisation process. MLR registration will not carry over, and firms should be realistic about the standards they will need to meet.”
