The UK's FCA launches a new licensing system for cryptocurrency companies — applications accepted from September 2026

The UK financial regulatory authority, FCA, has revealed plans to gradually implement a new licensing and authorization system for cryptocurrency companies. According to a report by PANews on January 9, crypto asset service providers (CASPs) will be able to apply for market entry in the UK starting September 2026, with the new system scheduled to fully launch on October 25, 2027.

What is FCA? The Financial Supervisory Authority Responsible for Cryptocurrency Regulation in the UK

FCA (Financial Conduct Authority) is an independent regulatory body overseeing the UK financial markets. Previously, crypto asset companies were regulated under other legal frameworks, but now, a new licensing system is being established to position cryptocurrencies as a standalone regulatory category. This move by FCA marks a significant turning point as the UK officially incorporates the crypto industry into its licensing regime.

Schedule Confirmed — Applications Open from September 2026

FCA announced that it will open application channels in September 2026, allowing companies to submit applications under the new system. However, during the initial phase, only limited application processing will be available, with full operations expected to commence after the new system officially takes effect on October 25, 2027. Until then, FCA will review applications from companies seeking approval.

Details of the schedule are expected to be announced later, and companies should use this preparatory period to organize their documentation.

Requirements of the New System — Licensing and Compliance for Crypto Companies

Before the new system comes into effect, the following companies must obtain approval from FCA:

• Crypto asset companies currently registered under anti-money laundering regulations or payment-related frameworks
• All companies providing regulated crypto asset services in the UK
• Companies already licensed by FCA for other regulated activities (requiring amendments to existing licenses)

Of particular note is that crypto companies relying on other licensed entities for financial promotion activities will also need direct approval from FCA to advertise their products in the UK. This change means that traditional outsourcing-based promotional strategies will no longer be viable.

Transition Provisions and Delayed Applications — Continuation of Existing Operations

Companies are required to apply at least 28 days before the new system takes effect, but certain grace periods are provided. Under the “transition provisions,” companies that miss the application window or are not licensed at the time of implementation can still continue operating their existing products. However, there will be restrictions on launching new products, making it practically difficult to expand new business lines.

Even if applications are delayed, procedures are still possible, but FCA warns that review times may be longer than usual. Delayed applications pose risks, making it crucial for companies to respond by the start of application acceptance in September 2026.

Challenges for New Entrants and Existing Companies in the UK Market

This new licensing system represents a historic step toward establishing an official regulatory framework for crypto operations in the UK. To comply with FCA’s new regime, crypto companies must urgently strengthen their legal and compliance structures. Simultaneously, preparing applications at the right time is essential to securing a competitive advantage in the UK market.