England: the crypto sphere — shaping the future regulatory regime (2025)
In 2025, the UK laid the groundwork for comprehensive regulation of cryptoassets: legal architecture from HM Treasury and detailed rules from the FCA.
Key events
HM Treasury
- On 29 April 2025, a draft statutory instrument, ‘Regulatory regime for cryptoassets (regulated activities)’, and a policy note were published.
- The documents create new regulated activities for cryptoassets.
- The final version was submitted to Parliament on 15 December 2025.
Financial Conduct Authority (FCA)
- On 16 December 2025, consultation CP25/40 was opened.
- Draft rules and guidance for firms conducting regulated cryptoasset activities:
- platforms, intermediaries, lending/borrowing, staking, certain elements of DeFi, etc.
- The consultation is open until 12 February 2026.
Practical significance
2025 will see the formation of a legislative framework (HM Treasury) and the launch of detailed rule-making (FCA) for a comprehensive crypto regime in the UK.
Specific dates of entry into force will depend on the parliamentary process and implementation stages.
