This summary text is fully AI-generated and may therefore contain errors or be incomplete.
The United Kingdom’s new rules for promoting crypto assets have caused confusion and a lack of compliance among firms. In response, the Financial Conduct Authority (FCA) has issued additional guidance to help crypto firms adhere to the rules. The FCA’s guidance, released on November 2, aligns with existing rules for high-risk investments and aims to support crypto firms in complying. Despite the FCA’s efforts, some market players have chosen to leave the UK due to the rules, and compliance has been poor. The 32-page guidance does not impose new obligations but reflects a new international competitiveness objective. The guidance emphasizes key aspects of the rules and provides detailed answers to questions raised during the consultation phase. The UK has also implemented the Financial Action Task Force’s Travel Rule and is expected to introduce legislation for regulating stablecoins next year.