UK's new authorisation and conduct framework for crypto firms, finalised in five policy statements on 30 June 2026 and coming into force on 25 October 2027.
It covers stablecoin issuance, custody, trading venues, market abuse, prudential requirements and how the existing FCA Handbook, including the Consumer Duty, applies to crypto firms. Financial promotion rules for cryptoassets are separate and have applied since 8 October 2023.
Key facts
- Legal basis: Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026, enacted February 2026
- Final rules published: 30 June 2026, in policy statements PS26/9 to PS26/13
- Authorisation gateway opens: 30 September 2026
- Application window closes: 28 February 2027
- Regime in force: 25 October 2027
- Stablecoin backing: full 1:1 backing in high-quality liquid assets, held on statutory trust
- Minimum own funds for stablecoin issuers: £350,000
- Crypto financial promotions: already regulated since 8 October 2023 under PS23/6; breaches are a criminal offence under s21 FSMA
What is the FCA cryptoasset regime?
The FCA cryptoasset regime is the framework that brings cryptoasset activities inside UK financial services regulation for the first time. It requires firms carrying on regulated cryptoasset activities in the UK to be FCA-authorised, and it sets conduct, prudential and disclosure rules for those firms. The regime was created by the Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026 and finalised in five FCA policy statements published on 30 June 2026.
Each policy statement covers a distinct piece:
Systemic stablecoins, those judged capable of affecting UK financial stability, are regulated jointly by the Bank of England and the FCA under a separate arrangement.
When does the FCA cryptoasset regime come into force?
The regime comes into force on 25 October 2027. Before that, the authorisation gateway opens on 30 September 2026 and the application window closes on 28 February 2027. Firms that want to operate under the mandatory regime from day one need to apply inside that window.
The timetable looks generous until it's mapped against how long FCA authorisation takes in practice. A firm that starts assembling its application when the gateway opens is already on a compressed schedule, because the application has to evidence systems, controls and governance that many crypto firms are building for the first time.
What are the FCA's stablecoin rules?
Under PS26/10, issuers of qualifying stablecoins must back them fully, on at least a one-to-one basis, with backing assets limited to short-term deposits and short-term government debt, and a minimum proportion held in on-demand bank deposits. Backing assets must sit in statutory trust arrangements, segregated from the issuer's own funds, and redemption timelines are fixed so holders can redeem at par. The permanent minimum own-funds requirement for a stablecoin issuer is £350,000.
The UK approach aligns with the direction set in the UK-US joint statement on stablecoins published in July 2026, which commits both governments to one-to-one backing, segregated reserves and a possible pathway for cross-border market access, without yet changing any UK rule.
Do financial promotion rules already apply to crypto?
Yes. Cryptoassets, including qualifying stablecoins, have been subject to the FCA's financial promotions regime since 8 October 2023 under PS23/6. This is the part most 2027-focused planning misses: the marketing rules are not waiting for the new regime.
Promotions must carry the prescribed risk warning displayed prominently, past performance cannot be shown without context and disclaimers, and direct-offer promotions to first-time investors carry cooling-off requirements. The regime reaches any communication capable of having an effect in the UK, wherever it was created. Communicating a non-compliant financial promotion is a criminal offence under section 21 of the Financial Services and Markets Act 2000, carrying up to two years' imprisonment and an unlimited fine.
The FCA has enforced this from the start, issuing more than 1,500 alerts against non-compliant crypto promotions in the regime's first twelve months and commencing its first enforcement proceedings in February 2026. Once firms are authorised under the new regime, PS26/13 layers the Consumer Duty on top, so promotions will also need to evidence good customer outcomes and customer understanding, not just correct warnings.
For marketing and compliance teams, the sequencing runs opposite to everyone else's: legal and prudential teams are preparing for October 2027, while promotions teams are already inside a live, enforced regime that gets stricter at authorisation, not looser.
What should firms do before October 2027?
Firms in scope should progress their authorisation application and, in parallel, get their promotions operation compliant now, because promotion obligations already apply. The promotions work splits into three parts.
First, treat the financial promotions regime as a current obligation. Audit live and planned promotions against the risk warning, prominence and past performance rules, because the FCA's monitoring of social media and online advertising is automated and the most common failures are the checkable ones.
Second, build the approval workflow before volume arrives. Authorisation brings product launches, every launch generates promotions across channels, and a review process that handles today's volume manually will not handle 2027's. Inconsistent reviewer standards that are survivable at low volume become indefensible at high volume.
Third, prepare for the Consumer Duty extension. Firms coming through the gateway will need to evidence customer understanding, not just rule-level compliance, and firms that already run Duty-shaped promotions processes for other products have a head start worth copying.
FAQ
How many policy statements make up the FCA cryptoasset regime?
Five: PS26/9 (admissions and market abuse), PS26/10 (stablecoin issuance), PS26/11 (regulated activities and custody), PS26/12 (prudential requirements) and PS26/13 (Handbook application), all published 30 June 2026.
When can crypto firms apply for FCA authorisation?
Between 30 September 2026, when the gateway opens, and 28 February 2027, when the application window closes.
How much must UK stablecoin issuers hold in own funds?
The permanent minimum own-funds requirement is £350,000, alongside full one-to-one backing of the stablecoin in high-quality liquid assets held on statutory trust.
Does the Consumer Duty apply to crypto firms?
Yes, once authorised under the new regime. PS26/13 confirms the Consumer Duty applies to cryptoasset firms coming through the gateway, alongside operational resilience requirements.
What is the penalty for a non-compliant crypto promotion in the UK?
Communicating a non-compliant financial promotion is a criminal offence under section 21 FSMA, carrying up to two years' imprisonment and an unlimited fine.
Is the regime finished?
The core is finalised but interpretive detail is still landing: the FCA opened two further guidance consultations alongside the June 2026 policy statements, and guidance will keep arriving through 2027.
Once you're booked in, we'll send you a free playbook on Financial promotions compliance for FinTechs.
