Read the latest update on the FCA Crypto Authorisation Gateway, which opens on September 30.
Frequently Asked Questions
FAQs The FCAs Crypto Authorization Gateway Opens on September 30
Beginner Questions
What is the FCAs crypto authorization gateway
Its a new application process from the UKs Financial Conduct Authority that crypto companies must go through to be officially authorized to operate in the UK It opens on September 30
What does gateway mean here
Its the entry point the door crypto firms must walk through to get permission to do business legally in the UK No passing through the gateway no legal operation
Why is this happening
The UK government wants crypto to be regulated like other financial services The gateway gives the FCA a way to check that crypto firms meet minimum standards before they serve customers
Who needs to apply
Crypto businesses planning to offer services in the UK like exchanges custodians and firms dealing in cryptoassets will generally need authorization If youre unsure whether it applies to you check the FCAs guidance or get legal advice
What happens if a company doesnt apply
It could be breaking the law by continuing to operate The FCA can take enforcement action including fines or shutting the business down
Does this affect regular people who buy crypto
Indirectly yes It means the platforms you use should be safer and more accountable But it doesnt mean crypto is riskfree you can still lose money
Is crypto now safe because of this
No Authorization means a firm met the FCAs standards not that crypto investments are safe Prices are still volatile and you can still lose everything
Practical Process Questions
When exactly does the gateway open
September 30 Firms can start submitting applications from that date
How does a company apply
Through the FCAs online application system Youll need to provide details about your business ownership compliance controls and how youll protect customer assets
How long does approval take
It varies The FCA aims to review applications within a set timeframe but complex cases can take longer Expect weeks to several months
What does it cost
Theres an application fee and authorized firms pay ongoing regulatory fees Check the FCAs latest fee schedule for exact amounts
What information will companies need to provide
Typically business plan financial details ownership structure