UK Tightens the Screws: Crypto Firms Must Report Every Transaction by 2026
Brace for paperwork—Britain’s financial watchdogs just dropped a compliance bomb on crypto. Starting 2026, every trade, swap, and NFT flip gets logged. No more shadowy corners for ’accidental’ money laundering.
Why it matters: The FSA’s move mirrors global crackdowns, but traders groan about killing innovation. Meanwhile, traditional bankers smirk—their compliance departments already bleed £100 notes.
The bottom line: Privacy coins hate this one trick. Whether this stops crime or just drives it underground, one thing’s certain: Crypto’s wild west days are over—at least in London.
UK Targets Crypto Firms with New Regulatory Framework
In late April, UK Chancellor Rachel Reeves introduced a proposed framework for regulating crypto assets, signaling a MOVE to strengthen consumer safeguards and boost trust in the digital asset market. The draft legislation marks a significant step in the government’s efforts to bring more oversight to the fast-evolving crypto space.
“Firms offering services for cryptoassets like Bitcoin and ethereum will be subject to new, clear rules, boosting investor confidence and driving growth through the Plan for Change,” Reeves stated in an April 29 official press release, outlining the government’s regulatory vision.
The proposed crypto legislation expands on the UK Treasury’s 2023 consultation, which outlined a strategy to bring a broad range of crypto-related activities—such as trading platforms, wallet providers, and crypto lending—under formal financial regulation.
The initiative reflects the government’s push to align the crypto sector with existing financial standards, aiming to reduce risks for consumers and establish clearer compliance expectations for industry participants.
As the UK moves to integrate digital assets into its financial oversight framework, industry participants will be watching closely to see how these evolving regulations shape the future of crypto in the region.
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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the shiba inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
