The UK’s Financial Conduct Authority (FCA) has announced plans to establish a comprehensive cryptocurrency regulatory framework by 2026.
The initiative, aimed at catching up with global leaders in crypto regulation, will begin with consultations and discussion papers on key topics such as market abuse, stablecoins, staking, crypto lending, and trading platforms, starting in late 2024.
This strategic move comes as the UK seeks to position itself as a competitive financial hub in the digital asset sector alongside global leaders like Hong Kong, Singapore, the UAE, and the European Union.
The EU’s Markets in Crypto Assets (MiCA) regulations, set to take full effect by the end of 2024, have further highlighted the need for the UK to accelerate its efforts to remain globally relevant.
The FCA’s regulatory priorities will focus on fiat-pegged stablecoins, staking services, custodial wallets, and related crypto services. The goal is to create a transparent framework that balances investor protection with fostering innovation. This approach is seen as essential for attracting digital asset businesses and maintaining the UK’s competitiveness in the rapidly evolving #crypto industry.