The United Kingdom is preparing to take a significant step to bring the crypto asset sector under a broader framework. According to a statement from the Treasury, crypto companies operating in the country will come under the direct supervision of the Financial Conduct Authority (FCA) from 2027. The new regulation aims to treat digital assets similarly to traditional financial products, while strengthening consumer protection and maintaining London's ambition to be a global crypto hub.
Crypto mobility in the UK
The rapid increase in crypto asset ownership in the UK is among the main reasons for this step. According to official data, approximately 12% of the adult population in the country already owns cryptocurrency. This rate makes crypto no longer a niche area for regulators, but a financial activity affecting a wide audience. The government believes that the need for regulation is not a choice, but a necessity.
Under the new framework, crypto exchanges, brokerage platforms, and companies offering digital wallet services will be subject to FCA oversight. These companies will be expected to meet similar standards to traditional financial institutions in areas such as transparency, operational resilience, and consumer rights protection. Officials believe this approach provides a clear roadmap for serious and long-term players operating in the sector, while also helping to push fraud and malicious activities out of the system. Consumer safety is central to the regulatory plan. Recently, there has been a significant increase in fraud cases and financial losses related to crypto investments in the UK. The government aims to mitigate these risks and restore investor confidence by bringing the crypto sector under official supervision. Chancellor of the Exchequer Rachel Reeves emphasized that the rules to be introduced will both protect consumers and support responsible innovation. The regulatory process is not limited to this development in 2027. The FCA and the Bank of England are already working on detailed regulations on issues such as crypto trading, custody services, token issuances, and market manipulation. It is stated that a separate framework is under consideration, especially for stablecoins, and that regulations in this area are considered critical for financial stability. Authorities plan to clarify most of these rules by the end of 2026. Meanwhile, the UK has also taken steps to strengthen the legal status of crypto assets. New regulations recognize Bitcoin and similar digital assets as property, making them inheritable and legally recoverable. This provides crypto asset owners with a more solid legal foundation. Internationally, London aims to increase cooperation with the US. The planned "Transatlantic Task Force" aims to ensure regulatory alignment between the two countries and support innovative projects. On the other hand, a ban on crypto-related political donations is also on the agenda due to concerns about transparency and ownership.
