The UK’s regime for cryptoassets is now fully legislated and its rules are final. The question for most firms is no longer what the regime will look like, but when they apply. The FCA’s application period runs from 30 September 2026 to 28 February 2027, and the regime starts on 25 October 2027.
Where things stand
- The law is made. The Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026 were made on 4 February 2026. They bring cryptoasset activities inside the FSMA perimeter, so carrying them on in or to the UK will need FCA authorisation.
- The rules are final. On 30 June 2026 the FCA published its final rules in five policy statements: admissions and disclosures and the market abuse regime for cryptoassets (PS26/9), stablecoin issuance (PS26/10), the regulated activities themselves (PS26/11), a new prudential regime (PS26/12), and how the wider FCA Handbook applies (PS26/13).
- The perimeter is clearer. The FCA’s final perimeter guidance followed on 16 September 2026 (PS26/18). It is the starting point for mapping each product and service to the new activities.
- Some pieces are still moving. The FCA has said it will consult later in 2026 on DeFi guidance, updates to its financial crime guidance and a resolution framework for cryptoasset firms. Anything finalised after you apply may mean revisiting your analysis.
The new regulated activities
Issuing qualifying stablecoin in the UK; safeguarding qualifying cryptoassets, and arranging for others to safeguard them; operating a qualifying cryptoasset trading platform; dealing in qualifying cryptoassets as principal or as agent; arranging deals and making arrangements with a view to transactions; and qualifying cryptoasset staking.
Who needs to apply
- MLR-registered cryptoasset businesses. Registration does not convert. Each firm needs a full application.
- Payment and e-money firms that carry on any of the new activities.
- FSMA-authorised firms, including investment managers, trading firms and market makers, adding cryptoasset activities. They apply for a variation of permission rather than a new authorisation. Firms already trading or market making in crypto should test that activity against the perimeter guidance rather than assume it sits outside.
- New entrants planning to serve UK customers.
Why timing matters as much as content
- Apply within the period: the FCA expects to decide before 25 October 2027. If it has not, a saving provision lets you keep providing services until your application is determined. You must notify the FCA that you are relying on it.
- Apply after it closes but before go-live: no expedited assessment. If you are not authorised by 25 October 2027, you can only perform existing contracts, for up to two years, and cannot take on new business with UK customers. The same applies if an application is refused or withdrawn before go-live.
- Don’t apply: the UK business must be run off before the regime starts. Carrying on afterwards risks breaching the general prohibition.
The FCA encourages firms to apply as early in the period as their application is genuinely complete. Incomplete applications can be rejected, and inconsistency between the business plan, financial projections and policies is a common cause of delay.
What the FCA will look for
The FCA expects firms to be ready to operate when they apply, not to have plans to become ready. In practice that means a senior management structure with named individuals who can explain their responsibilities; policies written for the actual business; a gap analysis against the final rules covering market conduct, customer treatment, prudential resources and wind-down, custody, financial crime and operational resilience; and evidence that controls are working. Existing MLR controls help, but the FCA expects firms to reassess them against the new standard rather than carry them over.
Two ways to prepare
Work through the checklist
Our readiness checklist sets out what to have in place before you apply: scope and permissions, plan and governance, gap analysis against the final rules, the application pack, pre-application engagement and submission. Anything you can’t tick yet belongs in your implementation plan, with an owner and a date.
Test your arrangements with the FCA Regulatory Review
Our free review tool scopes your firm, including MLR-registered firms moving to full authorisation, and sets out how the FCA tests each area at authorisation and in supervision. Your answers stay in your browser, and you can export the results to Excel, Word or PowerPoint.
Institutional standards for a crypto application
James supported the launch and ongoing advisory of crypto market making at Citadel Securities and IMC across the UK, EU and Singapore, was an early member of the FIA EPTA Digital Assets working group, and contributed to HM Treasury and ESMA MiCA consultations through industry groups. He has held SMF 16 and SMF 17 and has led an FCA authorisation from a standing start. How we support FCA authorisation →
Based on FCA publications as at 29 September 2026, including the FCA’s cryptoasset regime policy statements PS26/9 to PS26/13 (30 June 2026) and PS26/18 (16 September 2026). Dates are set by the FCA and may change; check the FCA’s cryptoasset pages before relying on them. General information only, not legal or regulatory advice.