UK Sets October 2027 Deadline to Regulate Crypto
Key Takeaways:UK Draws a Clear Regulatory Line for CryptoFCA and Bank of England Take Center StageWhat the Rules Are Likely to CoverAligning With the U.S., Not the EU
The strategic alignment is one of the most remarkable features of the plan in the UK. The move to apply the current financial regulations to crypto by the UK is one that borders more on the U.S. than the EU. MiCA, which took effect in 2024, introduced a tailored rulebook covering everything from stablecoins to service providers across the bloc. The UK believes its own model offers greater flexibility and avoids locking the industry into rules that could quickly become outdated. Read More: Vietnam’s New Digital Asset Rules: Government Moves to Regulate Crypto and Stablecoins The Treasury has also confirmed plans to collaborate closely with U.S. authorities through a “transatlantic taskforce” on digital assets. The partnership would facilitate the harmonization of standards in two of the most significant financial markets in the world, eliminating regulatory fragmentation to global crypto companies. This correlation is found as the world has become fascinated by crypto once more, spearheaded by a more industry-friendly posture of the current U.S. government. Although the prices of bitcoins have reversed to retreat to the current highs, institutional engagement is increasing, and it is more pressing that regulators tell them what to do. To a large number of crypto companies, the announcement comes as a relief. Uncertainty has been an old concern with firms in the UK making the argument that insecure rules discouraged investment and drove innovation abroad.About Author
