- UK’s FCA releases a discussion paper on future crypto regulation.
- The government will no longer pursue a phased approach to crypto legislation.
- Focus on developing balanced market abuse and admissions regimes.
The UK’s Financial Conduct Authority (FCA) has unveiled a discussion paper outlining its strategy for regulating crypto and crypto asset public offerings (ICOs). While not yet a law, this paper sets a roadmap for the future regulatory landscape.
The Government’s Legislative Move
The UK government is taking significant steps toward establishing a regulatory framework for digital assets. After announcing plans in 2023, the government confirmed in November 2024 that it would move forward with legislation to bring digital assets under the FCA’s regulatory perimeter.
A key departure from the old regime is that for the first time, the government will not handle regulation of stablecoins as separate from crypto trading; the two will come under the same law. It reflects a growing prominence of digital assets and its related sectors within the wider…
