UK FCA Sets Deadline for Virtual Asset Licensing Applications; Implementation in October 2027

The UK Financial Conduct Authority (FCA) has established licensing criteria for businesses providing regulated virtual asset services to domestic retail customers, including foreign operators. The new regulatory framework is scheduled to come into effect on October 25, 2027. The FCA announced that the application period for licenses will run from September 30, 2026, to February 28, 2027.

The regulator emphasized that companies intending to conduct regulated virtual asset activities must obtain a license under the new system. Discreet reports indicate that foreign businesses targeting UK retail customers will also require authorization, with the regulatory framework set to implement on October 25, 2027. Existing operators may continue certain activities under transitional provisions if they meet the requirements.