UK Regulator Proposes Relaxed Rules for Crypto Firms

UK Regulator Proposes Relaxed Rules for Crypto Firms

The UK’s Financial Conduct Authority (FCA) has proposed granting exemptions for crypto companies from some of the standard requirements applied to traditional financial institutions. These include rules on integrity, competence, diligence, and the duty to put clients’ interests first. 

The move is part of a wider effort to make the UK’s digital asset market more globally competitive, while still tightening operational risk standards. This comes in the wake of major incidents such as the $1.5 billion Bybit hack, which highlighted vulnerabilities in crypto platforms.