The U.K.’s Financial Conduct Authority (FCA) is consulting on a series of proposals for rules on the crypto sector that aims to help establish a sustainable, competitive crypto market.
The regulator issued a trio of consultation papers that address a wide range of issues — including conduct rules for brokerage firms and other intermediaries, rules against market abuse such as insider trading and market manipulation, standards for crypto trading platforms and listing rules for crypto assets, among other things.
The FCA said that its proposals are intended to follow a similar approach as the traditional financial sector, underpinned by “proportionate” requirements on firms and clear disclosure to investors, coupled with flexibility to allow for innovation.
“We want a market where innovation can thrive, but where people understand the risks,” the regulator noted. “Regulation cannot — and should not — remove all risk. Instead, it should make sure anyone investing in crypto does so with their eyes open.”
The consultations also include proposals for staking, lending and borrowing crypto, rules for decentralized finance (DeFi) generally, and proposed prudential requirements for firms in the crypto sector.
“Regulation is coming — and we want to get it right,” said David Geale, executive director for payments and digital finance at the FCA, in a release.
“Our goal is to have a regime that protects consumers, supports innovation and promotes trust.”
The consultations are open until Feb. 12, 2026.
Earlier this year, the FCA consulted on key topics such as stablecoins, custody requirements and high-level conduct standards. It also intends to consult on investor protection for crypto assets, and the application of the FCA’s consumer duty to activities in the crypto sector.