Britain's Financial Conduct Authority (FCA) has published final guidance setting out which crypto-asset activities will fall under its new regulatory regime, giving firms less than six months to prepare their applications before transitional arrangements close.

The guidance, issued through Policy Statement PS26/18 on September 16, 2026, clarifies when crypto businesses will need FCA authorisation under regulations that take effect on October 25, 2027. Its publication marks a milestone in Britain's shift from a registration regime focused on anti-money-laundering controls to comprehensive-services supervision of the crypto sector.

The regime will cover activities including crypto-asset custody, operating trading platforms, dealing and arranging deals, crypto-asset staking, and the issuance of qualifying stablecoins. Firms undertaking these activities will need to hold FCA authorisation once the framework comes into force.

The FCA said the guidance is aimed not only at existing crypto firms but also at traditional financial institutions, payment and electronic-money firms, overseas businesses serving UK customers, and companies that may require additional permissions under the new framework.

According to the regulator, the updated guidance is relevant to:

• firms carrying out, or planning to carry out, regulated cryptoasset activities in the UK, such as safeguarding cryptoassets, operating a trading platform, or arranging deals or staking;
• firms that are already authorised and may need extra permissions;
• firms registered under the Money Laundering Regulations (MLRs);
• issuers of electronic money and payment service providers;
• traditional finance firms exploring cryptoasset markets; and
• overseas firms providing cryptoasset services to UK consumers.

A key change for the industry is that existing registrations and permissions will not automatically convert into authorisation under the new regime. Firms currently registered under the UK's Money Laundering Regulations will therefore need to determine whether their activities fall within the new FCA perimeter and, where required, apply for authorisation.

The FCA's application window opens on September 30, 2026, and firms seeking to rely on transitional arrangements must apply by February 28, 2027, after which the transitional arrangements will close. The regulator has encouraged firms to apply as early as possible.

David Geale, the FCA's executive director of consumers, payments and competition, said: "We are building a crypto regime that firms, consumers, and international partners can trust. Getting ready for regulation starts with understanding how the regime applies to your business. This guidance gives firms the clarity they've asked for so they can prepare with confidence."

The FCA advised firms to assess whether they require authorisation or a variation of their existing permissions, and to seek independent legal advice where the application of the rules is unclear.

The regulator received 78 responses to its consultation on the perimeter guidance, with most respondents supporting its approach.

The FCA also said it expects to consult in October 2026 on targeted changes following government amendments to the underlying regulations, including provisions affecting certain stablecoins, proprietary trading and market making, technology providers, decentralised protocols, safeguarding arrangements, and financial promotions. Updated guidance is expected in early 2027. Firms will be tracking those changes against a fixed timetable: the application window opens on September 30, 2026, transitional applications close on February 28, 2027, and the new regime takes effect on October 25, 2027.

The broader regime represents a significant expansion of Britain's crypto regulatory perimeter, moving beyond the existing framework of anti-money-laundering registration and financial-promotion rules toward full financial-services supervision of specified crypto activities.

For crypto firms operating in Britain, the immediate issue is no longer whether regulation is coming, but whether their existing business models fall inside the new perimeter — and whether they can secure authorisation before the transition window closes.

Source: BitcoinKE