The regulator’s proposals apply a similar approach to crypto as in traditional finance: clear information for consumers, proportionate requirements for firms, and flexibility to support innovation.

Earlier this year, the FCA consulted on key topics such as stablecoins, cryptoasset custody and conduct of business and high-level standards. Soon, the FCA will consult further on Consumer Duty and other consumer protection matters for cryptoassets, including its approach to financial promotions.

The FCA said it has considered how these consultation papers will apply the UK issuers of stablecoins, and has introduced specific rules and guidance where necessary. UK issuers of stablecoins will not be able to pass interest from their own backing assets to holders; The FCA is considering how further financial incentives could be shared with holders when UK issued stablecoins are used.

What The FCA is consulting on

• Admissions and disclosures – Rules for listing cryptoassets and what firms must tell investors, so people have the facts before they invest.
• Market abuse – Measures to stop insider trading and manipulation, so markets are fair.
• Cryptoasset trading platforms – Standards for exchanges to keep trading safe and reliable.
• Intermediaries – Requirements for brokers and other middlemen, so they act responsibly.
• Staking – Making sure the risks are clear when firms offer staking – a service that lets you lock up your crypto for a reward.
• Lending and borrowing – Rules to protect both crypto lenders and borrowers.
• Decentralised finance (DeFi) – DeFi lets people trade, lend and borrow using crypto without a middleman. We’re asking if the same rules that apply in traditional finance should also apply here.
• Prudential requirements – Financial safeguards for firms, so they can better manage risk.

These proposals build on feedback from earlier discussions and new research that The FCA published today. They are aligned with new government legislation laid yesterday and reflect the regulator’s commitment to getting the balance right.

David Geale, executive director for payments and digital finance at the FCA, said,

“Regulation is coming – and we want to get it right. We’ve listened to feedback, and now we’re setting out our proposals for the UK’s crypto regime.

“Our goal is to have a regime that protects consumers, supports innovation and promotes trust. We welcome feedback to help us finalise these rules.”

The FCA added that it has made significant progress in delivering its crypto roadmap, and is helping firms meet its standards and become registered while waiting for further legislation. While it works closely with partners to deliver the UK’s crypto rules, people should remember crypto is largely unregulated – except for financial promotions and financial crime purposes.

Consultation responses are open until 12 February 2026.