UK’s FCA Seeks Public Feedback on New Stablecoin and Crypto Custody Rules

The Financial Conduct Authority (FCA) has unveiled regulatory proposals aimed at stablecoin issuers and cryptocurrency custody providers, marking a significant step in the UK’s push toward comprehensive crypto oversight. Public consultation will remain open until July 31, 2025, with final rules anticipated in 2026.

Collaboration with the Bank of England ensures systemic stablecoins will face additional scrutiny. The FCA emphasizes balancing innovation with consumer protection, seeking to create a framework where regulated stablecoins maintain stability and transparency.

This initiative builds on months of industry engagement, reflecting the UK’s ambition to establish itself as a hub for compliant crypto activity. Market participants now have a clear timeline to prepare for forthcoming requirements.