🇬🇧 UK to regulate crypto “like traditional finance” from October 2027
The UK Treasury has confirmed that a new crypto regulatory regime will come into force from October 2027, bringing crypto services fully inside the existing financial regulatory framework.
The approach is closer to the US model than to the EU’s MiCA.
🔍 What will be regulated
The new regime will classify crypto activities as regulated financial activities, including:
crypto trading platforms (exchanges)
custody and safeguarding services
issuance of fiat-referenced stablecoins in the UK
market abuse, disclosure and admission rules similar to traditional markets
The FCA is already preparing how its Handbook will apply to crypto firms.
🪙 Stablecoins: dual oversight
Non-systemic stablecoins → supervised by the FCA (conduct & consumer protection)
Systemic stablecoins → fall under the Bank of England (prudential rules, backing assets, financial stability)
📅 Key timeline
Detailed FCA & Bank of England rules: by end-2026
Full regime goes live: October / H2 2027
🎯 Why this matters
Long term (bullish): more legal clarity → higher institutional adoption (banks, funds, corporates)
Short/medium term: higher compliance costs → weaker or opaque operators may exit the UK market
👉 Bottom line: the UK is positioning itself as a regulated, institutional-grade crypto hub, but the transition will be long and selective.
