UK FCA drafts cryptoasset perimeter guidance

The Financial Conduct Authority is seeking feedback on its draft perimeter guidance for the UK’s future cryptoasset regulatory regime. This guidance will be an important resource for crypto businesses to determine how the incoming regime will apply to them and so whether they will need to seek a new or updated UK licence. The FCA’s consultation closes on 3 June 2026.

In CP26/13 the FCA proposes adding to its existing perimeter guidance, known as PERG. The new chapter sets out guidance on determining whether a crypto-related activity is regulated in the UK, what permissions are needed and what exclusions may be available.

Key points of interest from the draft PERG guidance include:

• Territorial scope: Overseas firms may be subject to the UK regime where they service UK consumers. The FCA’s guidance explains how this works for crypto activities. Get in touch with us to request a recording of our recent webinar on the impact of the UK crypto regime for overseas firms.
• Definition of cryptoasset: Qualifying cryptoassets must be more than a mere record of value or rights. The FCA’s guidance aims to clarify scenarios where an asset would only be a mere informational record. For example, in assessing whether a cryptoasset is solely a record, the FCA will consider, among other things, “whether market participants rely on it as the authoritative basis for taking commercial risk”. If your firm is involved in tokenisation projects, contact us to discuss whether this guidance provides sufficient regulatory clarity.
• Approach to DeFi: No licence is required where regulated crypto activities are undertaken on a truly decentralised basis. The FCA will look at each model on a case-by-case basis. DeFi developers should consider whether the FCA would deem them to be arranging deals in qualifying cryptoassets and so require a UK licence.
• Exclusions: The FCA warns firms not to assume that exclusions for crypto activities will exist or work in the same way as for traditional financial services. For example, there is no intragroup exclusion for dealing in crypto as agent.

The regulatory perimeter for cryptoassets is set by legislation, which has already been made. The PERG guidance does not change the perimeter but rather explains the FCA’s views on when the legislation applies.

Firms have until 3 June 2026 to respond and the FCA plans to finalise its guidance in September 2026 before its application window opens. The draft guidance raises important technical questions for structuring of certain crypto products and models. Get in touch with us if you would like to work through the key points for your business.