Final rules are targeted for late 2026, setting the stage for the broader crypto law rollout the following year
The UK is moving closer to placing cryptocurrencies fully within its financial rulebook, with new legislation expected to reach Parliament this week. The proposed bill would bring crypto companies under existing finance laws, with oversight handled by the Financial Conduct Authority by October 2027.
Treasury officials say the plan is meant to give digital asset firms the same regulatory treatment as traditional financial businesses. That would cover exchanges, brokers, and other intermediaries, shifting crypto away from its current focus on anti-money laundering rules alone.
Chancellor Rachel Reeves said extending the regulatory perimeter is key to keeping the UK competitive. She argued that clear standards would give companies confidence to invest and hire, while also improving protections for everyday users and shutting out bad actors.
Draft versions of the legislation were first floated earlier this year, and officials have indicated only small adjustments since then. Once in force, crypto products would be judged under similar consumer protection and market conduct rules as shares and other regulated assets.
The move also reflects closer coordination with the US, where lawmakers are working on their own framework to divide crypto oversight among regulators. Both countries formed a joint task force in September to explore alignment and cooperation on digital asset policy.
Economic Secretary Lucy Rigby described the bill as a major step in the UK’s ambition to be a leader in digital finance. She said the rules are designed to support growth without sacrificing fairness or safety, and could open the door to future cross-border cooperation.
The legislation follows a recent FCA roadmap outlining consultations on stablecoins, trading platforms, and decentralized finance.
