UK FCA sets February 2027 deadline for bank crypto licensing applications
CIE News ·
Based on an official regulatory or court document.
The UK FCA reminded wholesale banks to submit cryptoasset licensing applications by February 28, 2027, ahead of full regulatory enforcement on October 25, 2027.
The UK Financial Conduct Authority (FCA) has issued supervisory guidance reminding wholesale banks to submit their cryptoasset licensing applications by February 28, 2027. The application window for a Variation of Permission opened on September 30, 2026, under the Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026, which Parliament passed on February 4, 2026.
The regulatory regime will take full effect on October 25, 2027, expanding the FCA's remit across activities including stablecoin issuance, staking, dealing, custody, and trading platforms. The framework introduces dedicated sourcebooks, including CRYPTO 2 and Client Asset Sourcebook (CASS) 16 for safeguarding stablecoin backing assets, as well as rules for admissions, disclosures, and market abuse.
Banks that miss the February 28, 2027 deadline face operational limits. The FCA stated that firms applying after that date will only be permitted to fulfill pre-existing contracts and cannot enter into new agreements with customers while their applications remain pending.
Key facts
- Deadline: February 28, 2027
- Application window opened Sept 30
- Full regime begins Oct 25, 2027
- Late filers barred from new pacts
Read the original at fca.org.uk