The Financial Conduct Authority published final cryptoasset perimeter guidance on September 16, establishing when digital-asset businesses become regulated in the United Kingdom. From October 25, 2027, firms conducting covered activities will generally need FCA authorization unless an exemption or transitional arrangement applies.
The regulatory framework covers stablecoin issuance, crypto trading platforms, dealing and arranging transactions, custody, and staking services. It also applies to overseas firms serving UK customers and traditional financial institutions entering the crypto sector.
Applications for authorization open September 30, 2026, with a transition window closing February 28, 2027. David Geale, the FCA's executive director of consumers, payments and competition, stated the regulator aims to provide clarity so firms can prepare with confidence.
Banking Access Remains Unresolved
Despite regulatory approval, FCA authorization will not guarantee access to the UK banking system. According to The Banker, nine of the 10 largest UK retail banks currently block or limit crypto-related transactions. The FCA is not expected to compel lenders to remove these restrictions when the new regime begins, leaving individual banks to determine their own risk appetite.
The government has previously said banking decisions remain largely commercial, while also stating that licensed crypto companies should not face restrictions merely because they operate in the sector. This creates a contradiction: crypto businesses may soon hold full FCA licenses but still encounter banking access difficulties.
Parliament Considers Broader Strategy
The issue has escalated to Parliament. The House of Lords recently backed Amendment 88 to the Financial Services and Markets Bill, which requires the Treasury to develop a national digital-assets strategy covering crypto, stablecoins, tokenization, and access to banking and payment services. The measure passed 194-138. The bill has since moved to the House of Commons and is not yet law.
