The UK Financial Conduct Authority (FCA) has published a consultation on how its Consumer Duty should apply to firms offering cryptoasset services, asking for feedback by March 12. The guidance is aimed at firms planning to undertake regulated crypto activities under recent Treasury legislation and is part of the FCA's stepwise approach to bringing crypto under existing financial rules.
FCA's Final Consultation on Crypto Regulation
The consultation sets out how the FCA expects the Consumer Duty to be applied across crypto firms and seeks industry and public responses by the stated deadline. It is framed as a final step in the FCA's consultation process, which the regulator says complements the legislation introduced by the Treasury.
Consumer Duty and Its Application to Crypto Firms
Consumer Duty establishes a high standard for how firms treat retail customers: they must act in good faith, avoid foreseeable harm and help people achieve their financial goals. Firms are expected to provide clear information, fair pricing and ongoing support across the customer journey, and the FCA stresses that these expectations apply to digital asset services as well.
Timeline for Crypto Regulation in the UK
The FCA said it aims to open the application gateway for cryptoasset permissions in September 2026, and that new authorization rules for crypto-related services will take effect in October 2027. The regulator also noted that it began accepting applications in September, signalling a phased implementation of the permissions regime.
Impact on Existing and New Crypto Firms
Companies that already operate under the money laundering regulations (MLRs) will still need to meet the new authorization requirements when the rules come into force. The FCA has already awarded MLR registration to Ripple, the developer and issuer of the payments token XRP, illustrating that MLR registration and future authorization are distinct steps in the regulatory process.
Legislative Background and Future Outlook
The consultation and guidance follow Treasury legislation from December 2025 that extended existing financial rules to cover crypto companies, making the path to formal regulation clearer. The FCA says it wants a regulatory framework that supports innovation while ensuring consumers understand the risks, but it also warns that regulation cannot eliminate all risk.
Why this matters
For miners and small operators, the FCA's moves are primarily relevant because they set the market rules for firms that provide services you may use, such as exchanges, custodians or payment processors. Even if you only run a few devices, the quality and authorization status of service providers can affect custody, fiat on/off ramps and the information available to retail customers.
What to do?
- Check service providers: verify whether an exchange, custodian or payment provider you use is applying for or has the required authorizations under UK rules.
- Follow the consultation if relevant: firms and advisers can respond by the March 12 deadline, and monitoring responses can show how rules will be interpreted in practice.
- Keep records and information clear: where you interact with UK-regulated services, retain transaction and account information to help resolve any disputes or questions about outcomes.
- Stay informed about the gateway and timelines: the application gateway is planned for September 2026 and new rules take effect in October 2027, so expect a phased shift in who is formally authorized.
For more background on the FCA's broader consultation work, see FCA launches consultation. For an overview of regulatory changes in the coming year, consult this summary of crypto regulation in 2026.
