The Financial Conduct Authority (FCA) is seeking feedback on its plans to improve transparency in the UK’s cryptocurrency markets. The proposals focus on admissions, disclosures, and market abuse regimes to enhance the integrity of crypto markets and help people make informed financial decisions.

FCA Discusses Market Abuse Prevention

The FCA's Discussion Paper DP24/4 outlines plans for firms to adopt stronger controls to prevent harm and suggests that certain firms, such as authorized crypto trading platforms, share information to prevent market abuse. This could reduce fraud and promote good practices.

The FCA encourages industry input to help shape new disclosure methods that will ensure consumers understand the risks before purchasing crypto. The paper builds on earlier consultations, including insights from FCA-led roundtables with industry participants.

#XDC 🇬🇧UK plans for crypto regulation provide welcome clarity | FCA Crypto Roadmap

The government plans to engage firms on draft legal provisions for the cryptoasset regime as early as possible in 2025.

The FCA has set out a phased approach, starting in Q4 2024 and continuing… pic.twitter.com/Evz4Lbn59k

— Cryptonaire D (@darrinlewisjr) December 11, 2024

FCA Warns Crypto Remains High-Risk

The FCA aims to create a fair and balanced crypto regulatory regime. It is seeking input from government, international partners, industry, and consumers. Feedback is open until 14 March 2025.

The FCA continues to remind the public that while crypto regulation in the UK is developing, crypto remains largely unregulated and high-risk. Consumers should be prepared to lose all their money if something goes wrong.