UK’s FCA Accelerates Crypto Licensing Amid Global Regulatory Competition

The Financial Conduct Authority (FCA) has significantly streamlined its crypto registration process, cutting approval times from an average of 17 months to just over five months. This shift comes as the UK seeks to position itself as a more attractive hub for digital asset firms amidst intensifying global competition.

Approval rates have surged to 45% since April, a marked improvement from the previous five-year average below 15%. Major institutional players like BlackRock and Standard Chartered are among those benefiting from the expedited process. The FCA has bolstered its staffing and implemented pre-application meetings to enhance efficiency.

Beyond operational improvements, UK regulators are developing a comprehensive framework that WOULD subject crypto firms to bank-level oversight. Simultaneously, officials are pursuing closer collaboration with US counterparts, particularly around stablecoin regulation and international market access.