The UK Treasury has announced that comprehensive legislation for the regulation of crypto-assets will be implemented in 2027. Under the new rules, crypto companies will be required to adhere to standards overseen by the Financial Conduct Authority (FCA), similar to other financial products.
The government stated that the new framework is intended to provide consumer protection, increase transparency, and combat illicit activities. Chancellor Rachel Reeves emphasized that the move will provide certainty for firms to invest and innovate in the UK.
The legislation, which introduces seven new regulated activities related to crypto-assets, aims to solidify the UK's position as a leading financial center in the digital age.