PS26/18: FCA finalises cryptoasset perimeter guidance. Application window opens 30 September 2026
Action required. The FCA has published final guidance on when cryptoasset activities need authorisation. The application window opens 30 September 2026 and closes 28 February 2027.
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The FCA published PS26/18 on 16 September 2026, finalising guidance on when cryptoasset activities will require authorisation under the new regime. If your firm carries on any of the activities listed below, you need to apply before 28 February 2027.
The new regulated activities, introduced by the Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026, come into force on 25 October 2027. Anyone wishing to carry on those activities by way of business in the UK must apply for authorisation unless an exemption applies or transitional run-off provisions are available. That phrase is the statutory threshold; if cryptoassets are incidental to your main business, you may fall outside it, but you should check. Existing MLR registrations and permissions will not convert automatically.
The application window opens 30 September 2026 and closes 28 February 2027 for firms wanting transitional arrangements. There is no grace period after that date.
The guidance is broad in scope. If you fall into any of the following categories, read it before 30 September 2026:
- firms carrying out, or planning to carry out, regulated cryptoasset activities such as safeguarding cryptoassets, operating a trading platform, or arranging deals or staking
- firms already authorised that may need extra permissions
- firms currently registered under the Money Laundering Regulations (MLRs): registration does not convert to authorisation
- issuers of electronic money and payment service providers
- traditional finance firms exploring cryptoasset markets
- overseas firms providing cryptoasset services to UK consumers
A 'qualifying cryptoasset' is defined as one that is fungible, transferable, not solely a record of value or contractual rights (so tokenised invoices or certain NFTs may fall outside the definition), and not excluded by specific carve-outs. Bitcoin, Ethereum and Solana are in scope; gift vouchers and reward credits such as Tesco club points are not.
If your firm handles UK-issued qualifying stablecoin (UKQS) payments, the government is carving you out of the dealing and arranging authorisation requirements ahead of forthcoming payments reforms. That is not a full exemption. You will still need cryptoasset safeguarding permissions under regulation 9N where you hold, or arrange for another to hold, cryptoassets on behalf of clients. Lending and borrowing involving UKQS stays inside the regulated perimeter, so the FCA can create rules to address associated consumer risks. The draft legislation also makes consequential changes to the financial promotions regime: transactions involving UKQS will generally fall outside it, with lending and borrowing arrangements the exception.
The FCA plans to consult on further perimeter guidance changes in late 2026, following a government statutory instrument amending the underlying regulations, with final guidance expected in early 2027. That consultation may refine scope further; watch for it before finalising your application.
Firms in scope that want to use the transitional arrangements must apply by 28 February 2027. The window opens 30 September 2026.
