FCA publishes final crypto rulebook with diluted stablecoin capital requirements after industry pushback, and separately proposes removing non-UK business from Consumer Duty scope

The Financial Conduct Authority (FCA) published two significant regulatory updates on 30 June 2026. First, the FCA unveiled its final cryptoasset rulebook — bringing the sector fully within its regulatory remit for the first time — and reduced its planned capital requirement for stablecoin issuers from 2% to 1% of the total value of stablecoins issued, following industry lobbying. The FCA also said it would tailor proposed crypto trading rules to better reflect how crypto markets actually operate. Finance minister Rachel Reeves has previously described the rules as providing 'clear rules of the road'. Second, the FCA proposed removing non-UK insurance business from the scope of its Consumer Duty (the FCA's regime requiring firms to deliver good outcomes for retail customers), on the basis that such business is already regulated by the jurisdiction where the consumer purchased the policy. The FCA described the proposals as making regulation 'more flexible and proportionate for firms, supporting competitiveness without affecting strong consumer protections for UK consumers'.