CoinInsight360.com logo CoinInsight360.com logo
America's Social Casino

crypto.news 2025-05-28 16:30:09

FCA seeks public views on stablecoins and crypto custody

The Financial Conduct Authority, United Kingdom’s financial markets regulator, is seeking input from the public on its proposals for stablecoin and crypto custody regulation. FCA’s press release on the topic on May 28 comes as the United Kingdom looks to finalize its regulatory framework for stablecoins and crypto custody. The regulator is looking to collect feedback from various stakeholders ahead of publishing the final rules in 2026 . Proposals by the FCA come a few weeks after the UK Treasury released its draft legislation on the topics, which it published in April 2025. According to the financial markets watchdog, the public have until July 31, 2025 to submit their feedback. The regulator has previously highlighted stablecoins as potentially key assets in the payments and settlement sector, with the blockchain-based assets offering benefits such as efficiency and speed. However, it maintains there is need to ensure proper regulation , with issuers obligated to provide clear information on their stablecoin’s reserve backing. You might also like: UK wants more crypto user data just as trust in KYC takes new hit Support for stablecoins and crypto custody extends the government’s commitment to making the UK a crypto innovation hub, said David Geale, the executive director for payments and digital finance at the FCA. Regulation will help regulators “strike a balance” in terms of support for the sector and the need to ensure “market integrity and trust,” Geale noted. The FCA and the Bank of England are working together to bring clear regulations to the UK’s crypto market. In a comment on the latest proposals, Sarah Breeden, deputy governor of the Bank of England, noted: “We welcome the proposals the FCA have published as part of building the UK’s stablecoin regime. For those stablecoins that expect to operate at systemic scale, the Bank of England will publish a complementary consultation paper later this year, including responding to industry feedback around allowing some return on backing assets.” The consultation is open for stablecoin issuers looking to expand into the UK, payments providers, crypto custody platforms and industry groups, including law firms. Also expected to provide feedback as auditors, professional advisers within the sector and consumer interest groups. You might also like: Interview | UK crypto rules signal major shift: but will they deliver?

Read the Disclaimer : All content provided herein our website, hyperlinked sites, associated applications, forums, blogs, social media accounts and other platforms (“Site”) is for your general information only, procured from third party sources. We make no warranties of any kind in relation to our content, including but not limited to accuracy and updatedness. No part of the content that we provide constitutes financial advice, legal advice or any other form of advice meant for your specific reliance for any purpose. Any use or reliance on our content is solely at your own risk and discretion. You should conduct your own research, review, analyse and verify our content before relying on them. Trading is a highly risky activity that can lead to major losses, please therefore consult your financial advisor before making any decision. No content on our Site is meant to be a solicitation or offer.