UK Regulator FCA Announces 2026 Timeline for Crypto License Applications

The UK’s top financial regulator, the Financial Conduct Authority (FCA), has announced the timeline for firms seeking new crypto licenses and full authorization.

Crypto asset service providers (CASPs) will be able to apply to operate in the UK starting in the fall of 2026. The FCA stated, “We expect the application period will open in September 2026.”

UK FCA Opens Limited Window for Crypto License Applications

The UK’s FCA said its planned authorization gateway will provide a limited application window before the new crypto regulatory regime comes into force.

The new crypto regulatory regime is expected to come into force around October 25, 2027.

Some market players have already begun preparing for the new regime. Two weeks ago, digital currency payments app Sling Money received approval from the UK’s FCA to offer crypto services.

Now, under the newly proposed framework, all firms offering regulated crypto asset services in the UK need to obtain authorization under the Financial Services and Markets Act (FSMA).

This marks a major shift from the existing regime, which relies largely on anti-money laundering registrations.

The FCA clarified that the new authorization requirement will also apply to crypto firms already operating under existing Money Laundering Regulations (MLRs).

The currently registered entities will need to reapply to continue offering services once the new rules take effect. The official announcement from the UK FCA notes:

The Financial Conduct Authority also stated that firms already authorized under the Financial Services and Markets Act (FSMA) will need to update their existing permissions before the new crypto regime comes into effect.

The regulator added that crypto companies currently operating under financial promotion arrangements approved by third-party authorized firms will no longer be able to rely on that structure.

Instead, they will have to secure direct FCA authorization in order to continue marketing crypto asset products to UK consumers.

Apart from working on licensing regulation, stablecoins also remain on the FCA’s priority list.

Crypto Firms Must Submit Applications Within FCA’s Window

The Financial Conduct Authority said crypto firms will have to submit authorization applications within a defined window of at least 28 days.

The application window will close at least 28 days before the new regulatory regime comes into effect.

Applications filed during this period are expected to be reviewed and decided before the regime comes into force.

Draft legislation also includes a “saving provision,” which would allow firms to continue operating while their applications are under assessment.

Companies that fail to apply within the window will face transitional arrangements. These rules would allow them to continue servicing existing products but prevent the launch of new offerings.

While late applications will still be accepted, the FCA cautioned that such cases may face extended review timelines.

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