The UK's Financial Conduct Authority will take applications for crypto authorisation from Sep. 30, 2026, to Feb. 28, 2027, ahead of a new regulatory regime expected to start in October 2027. Firms that already hold anti-money-laundering registration must still apply separately, and firms that file within the window and meet the conditions may keep running specified activities while the FCA reviews them.
The FCA will open its application window for crypto authorisation on Sep. 30, 2026, and close it on Feb. 28, 2027. The new regime is expected to begin on Oct. 25, 2027. Firms that apply on time may continue specified activities under transitional provisions if they meet the conditions, while those applying after the deadline cannot rely on those provisions and may have to stop the relevant activities until approved.
Firms must seek fresh FCA permissions
Under the incoming rules, any firm running regulated crypto activities needs FCA authorisation or a change to its existing permissions. The regulator says its oversight has so far focused mainly on anti-money-laundering registration and financial promotions, and the 2027 framework brings more activity into its financial-services rulebook.
An existing anti-money-laundering registration will not convert into permission under the new regime, so firms already registered under those rules, and companies authorised for other financial services, must apply separately if their crypto work falls within the new rules. The requirement covers trading platforms, custodians, stablecoin issuers and firms offering certain staking services. The FCA opened a pre-application support service in July to help firms prepare before filing.
Zumo founder and chief executive Nick Jones wrote to the Financial Times that the window gives firms a route into a market some institutions had previously considered "too difficult". In his view, uncertainty over regulation and the risks tied to business partners had held institutions back, even where they understood digital assets and wanted to offer related products.
Financial firms expand access through crypto ETNs
Jones pointed to Hargreaves Lansdown as an example of a traditional platform entering the market. The company began offering nine Bitcoin and Ether exchange-traded notes to eligible clients on Sep. 3, giving investors price exposure without holding the coins or their private keys directly.
Access is limited to clients on the platform's Advanced Investing service, who must self-certify as advanced investors, pass a risk test and complete a 24-hour cooling-off period. The launch followed the FCA's decision to let UK retail investors buy qualifying crypto ETNs from October 2025. Separately, the FCA has proposed a 10% limit on crypto ETN holdings for certain authorised funds, while saying it was not then considering direct crypto ownership by those funds.
Offshore exchanges weigh a licensing decision
For overseas firms serving UK customers, the application window raises a separate question of whether to seek permission for covered services. Crypto.news reported in August that Binance planned a bid for an FCA licence, though the exchange had not publicly confirmed a filing, and the FCA's existing restrictions on Binance Markets Limited remained in place.
Jones argued that more firms will need compliant local partners as they prepare for the UK rules, describing offshore provision as a model he expects the industry to move away from. Those remain his own expectations rather than an FCA finding.
Source: crypto.news
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