FCA crypto promotion rules: two years on
The financial promotion regime for crypto assets has been in force for over two years. Many firms have left the UK market; others have complied.
By Money Guide editorial team
Published:
It has been over two years since the FCA's financial promotion regime for cryptoassets came into force. The rules require any firm marketing crypto products to UK consumers to be authorised (or have promotions approved by an authorised firm), display risk warnings, complete personalised risk assessments and impose a cooling-off period on first-time investors.
Several global exchanges chose to withdraw from the UK market rather than comply. Others adapted, including by partnering with UK-authorised firms able to approve promotions.
Crypto remains largely unregulated in the UK in terms of conduct of business: protections such as FSCS coverage and Financial Ombudsman access do not apply to crypto holdings. The FCA continues to warn that consumers should be prepared to lose all the money they put in.
Broader UK regulation of stablecoins and certain crypto activities under the Financial Services and Markets Act framework is being phased in, with consultation on detailed rules ongoing.