FCA opens five-month crypto authorization window on September 30
Summary
The UK's Financial Conduct Authority (FCA) has announced a five-month crypto authorization window that will open on September 30, 2026, and close on February 28, 2027, with a full regulatory regime set to begin on October 25, 2027. Notably, firms registered under money laundering rules will not receive automatic conversion into the new crypto system, reflecting a similar approach previously applied to payments firms under PSD2 and e-money firms.
Analysis
FCA: The Financial Conduct Authority is the UK's independent regulator responsible for overseeing financial markets, supervising firms, and protecting consumers. In this development, the FCA is implementing a dedicated authorization gateway for crypto businesses with a defined application period ahead of the full regime. PSD2: PSD2 refers to the EU's Second Payment Services Directive, which established a regulatory perimeter for payment service providers across Europe. The news references it as a precedent for how similar boundaries are being drawn for crypto firms in the UK. Conversion Policy: Firms already registered under money laundering rules receive no automatic conversion to the new crypto regime. Authorization Window: The UK's crypto authorization window is five months long. Regulatory Precedent: The FCA has applied similar perimeters to payments firms under PSD2 and to e-money firms previously.
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crypto