How to Get a Crypto Licence in the UK in 2026

A crypto licence in the UK lets your company serve British customers under the Financial Conduct Authority, one of the most respected regulators in the world. Banks, payment partners and institutional clients treat FCA supervision as a strong signal, and a UK company pays 19% corporation tax on profits up to £50,000.

The hard part is the approval rate and the timing. Between 2020 and 2025 the FCA received 386 crypto registration applications and approved 62, about 16%. The rules are also changing: a new authorisation regime starts on 25 October 2027, and the application window for it closes on 28 February 2027.

This is where we come in. We form the UK company, prepare the application with licensed advisers and set up your KYC and AML controls on our own compliance platform. Then we open a business account that accepts crypto. One team, one point of contact, and an application built for the questions the FCA actually asks.

Only need a standard company first? Read our guide on the cost of setting up a UK company.

UK Crypto License at a Glance

Today a UK crypto business registers with the FCA under the Money Laundering Regulations. From 25 October 2027 it needs full FSMA authorisation instead, and the application window for firms that want to keep trading through the switch runs from 30 September 2026 to 28 February 2027. The table sets out both routes side by side.

Fees checked against the FCA's authorisation and registration application fees page (updated 3 November 2026) and capital against FCA Policy Statement PS26/12 (June 2026), on 13 November 2026.

The table shows that the fee is rarely the deciding number. The time in review, the capital for your activity and the people you need to hire cost far more. Plan the crypto license UK cost for the whole first year, and decide early which regime you are applying under, because the window decides whether you can keep operating in October 2027.

Why Get an FCA Crypto License

Founders apply in the UK for four reasons: the size of the market, the weight of FCA supervision with banks and partners, the English common law framework, and a regime that is now fully written down. A UK crypto license is hard to get, and that is exactly why it carries value once you hold it.

A Large Market With Clear Rules

Since 30 June 2026 the FCA has published its final rules for the new regime in five policy statements, PS26/9 to PS26/13. They cover admissions and market abuse, stablecoins, the regulated activities, the prudential regime and how the FCA Handbook applies. For the first time, a firm can read the whole rulebook before it applies.

FCA Supervision Opens Doors

Banks, payment processors and institutional clients ask the same first question: who regulates you? An FCA crypto license answers it. It does not guarantee a bank account, but it moves your file from the high risk pile to a supervised firm with known controls. It also lets you build on a UK company with a bank account rather than an offshore structure that partners will question.

English Common Law and a Familiar Company Form

A UK private limited company is simple to run and widely understood by investors. Companies House charges £100 to incorporate, and corporation tax is 19% on profits up to £50,000 and 25% above £250,000, with marginal relief between the two. Read more on the benefits of setting up a company in the UK.

Talent and Infrastructure

London has a large pool of compliance officers, risk managers and payments engineers who already work under FCA rules. That matters, because the FCA expects your key people to be in place and competent before it approves you. Hiring locally is easier than relocating a team, and it is often what makes an application credible. Our guide on how to start a business in the UK covers the basics of running a UK company.

Where a UK Crypto License Lets You Operate

An FCA crypto license lets you serve customers in the UK. It does not passport into the EU, the UAE or anywhere else. If you plan to serve EU clients, you need a separate MiCA authorisation in an EU member state, and many groups run a UK company and an EU company side by side.

Serving UK Consumers From Abroad

Under the new regime, an overseas firm dealing with UK consumers in qualifying cryptoassets, or running a trading platform for them, may be treated as carrying on business in the UK. It then needs FCA authorisation or must stop serving UK consumers. Firms that reach UK consumers only through an authorised firm acting as principal, or through a UK trading platform, are not treated as carrying on activity in the UK.

Institutional Clients Only

Overseas firms that deal only with UK institutional clients should generally not need authorisation, unless those clients pass the service on to UK consumers. This is an important route for market makers and B2B providers, and it is worth confirming early with your advisers before you build a full UK set-up you may not need.

Outside the UK

For the EU, Cyprus and Malta are the usual bases under MiCA; see our guide to the Malta crypto licence. For the Middle East, Dubai regulates crypto through VARA, covered in our guide on how to get a crypto licence in Dubai.

Types of UK Crypto License Under the New Regime

There are two layers today. MLR registration covers exchange and custodian wallet providers for anti-money laundering purposes. The FSMA regime adds full authorisation for six activities, and the FCA fee and the capital you hold depend on which you apply for.

Fees from the FCA application fees page (updated 3 November 2026). Capital from FCA PS26/12 (June 2026). Where you apply for several activities, you pay the highest applicable fee and hold the highest capital figure.

The pattern is clear. A broker that only arranges deals sits at the lowest fee and capital level. A firm that trades on its own book needs £750,000 before any other requirement. Choosing the narrowest scope that still fits your business model is the single biggest lever on cost.

MLR Registration

An FCA crypto registration has been required since January 2020: cryptoasset exchange providers and custodian wallet providers carrying on business in the UK must register with the FCA under the Money Laundering Regulations. Registration is an anti-money laundering check, not a conduct licence. It does not bring conduct rules, client money rules or capital requirements. The FCA still accepts applications, but from 30 September 2026 it asks firms to seek FSMA authorisation instead, and to contact its pre-application support service first if they still want registration.

FSMA Authorisation

The Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026, made on 4 February 2026, create the new regulated activities. Authorised firms follow the FCA Handbook, including the Consumer Duty and operational resilience rules confirmed in PS26/13. This is the full FCA crypto license UK founders mean when they talk about being regulated in Britain.

Stablecoin Issuance

Issuing a qualifying stablecoin in the UK is a separate activity with its own rules in PS26/10, covering backing assets and redemption. It carries the £350,000 capital floor. Most trading and brokerage businesses do not need it. Firms that also issue e-money or run payment services for customers need separate permissions, explained in our FCA EMI licence guide.

Own Licence, Partner Route or Institutional Model

Not every business needs its own FCA crypto license. There are three ways to serve the UK, and the right one depends on who your customers are and how much of the value chain you control.

Your Own Authorisation

If you hold client assets, run a platform or deal directly with UK consumers, you need your own authorisation for each activity. It is the most expensive route, but it gives you control over your product, your margins and your brand, and it is the only route if you plan to scale in the UK. Many groups hold the regulated firm through a UK holding company, which keeps the licensed entity clean when the group grows.

Working Through an Authorised Firm

A firm can reach UK consumers through an authorised firm acting as principal, or list through a UK trading platform. The authorised firm carries the regulatory responsibility for that relationship. This suits overseas groups testing the market, but you depend on the partner's terms and its appetite for your product.

Institutional Clients Only

If you serve only institutional clients from outside the UK, you may not need authorisation at all. You still need a clear record of who your clients are and how you checked them. The model breaks the moment a UK consumer comes in through the back door, so your onboarding has to screen for it.

UK Crypto License Requirements

The FCA looks at four things: whether the firm can be supervised, whether it has enough resources, whether its people are fit and proper, and whether its business model is sound. Every document you file has to show one of these, and gaps in any of them are the usual reason applications stall.

Fit and Proper People

Beneficial owners, officers and managers of a registered cryptoasset business must pass a fit and proper test under the Money Laundering Regulations. Under FSMA authorisation, senior roles are approved by the FCA as well. Expect questions on each person's experience, criminal record, financial soundness and time commitment, and expect the FCA to interview them.

Capital and Liquidity

Authorised firms hold the highest of three figures: the permanent minimum requirement for their activity, the fixed overheads requirement and the K-factor requirement, which grows with volumes such as client orders and assets safeguarded. PS26/12 sets the minimums at £75,000 to £750,000 and adds liquidity rules on top. The capital must be in place and evidenced, not promised.

AML Controls and the Travel Rule

Since 1 September 2023, UK cryptoasset businesses must collect, verify and share information about the payer and payee on crypto transfers, under Part 7A of the Money Laundering Regulations. Your file needs a firm-wide risk assessment, customer due diligence, sanctions screening, transaction monitoring and a named money laundering reporting officer. Our own compliance platform covers KYC verification, screening and monitoring in one place.

Financial Promotions

Since 8 October 2023, crypto promotions to UK consumers must be made or approved by an authorised firm, made by an MLR-registered firm, or fall within an exemption. They need prominent risk warnings, a 24-hour cooling-off period for first-time investors and no refer-a-friend bonuses. Breaking the rules can be a criminal offence punishable by an unlimited fine and up to two years in prison.

Before You Apply for an FCA Crypto Registration

Most of the work on an FCA crypto license UK application happens before the form is filed. The FCA can reject an application without assessing it if the minimum information is missing, and it does not refund the fee if you withdraw or are refused. Use this checklist before you pay anything.

1. Confirm which activities you carry on and which regime applies to each.
2. Decide whether you need your own authorisation, a partner route or an institutional-only model.
3. Incorporate the UK company and open its bank or payment account.
4. Appoint directors and a money laundering reporting officer with real crypto and compliance experience.
5. Write a business plan with three-year financial projections and a wind-down plan.
6. Calculate your capital requirement and put the funds in place.
7. Draft the AML policy, the firm-wide risk assessment and the travel rule procedures.
8. Set up KYC, sanctions screening and blockchain analytics before launch.
9. Map every financial promotion to one of the four permitted routes.
10. Prepare a full ownership chart with source of wealth evidence for every controller.
11. Book the FCA pre-application meeting where the FCA offers one.

How to Get a Crypto License in the UK

The route is the same whether you apply for MLR registration or FSMA authorisation: build the company and the team, prepare the file, submit through the FCA's online system, then answer questions until the FCA decides. What we handle at each step is below.

Form the Company and Open the Account

We incorporate the UK company, appoint the directors and file with Companies House. The company needs a business account before it can show capital and pay the FCA fee. See our guide to UK company registration for the formation steps.

Build the Team and the Controls

We help you define the roles the FCA expects to see filled and set up the KYC, screening and monitoring tools on our own compliance platform. Policies are written to match how the business really works, because the FCA tests them against your systems in interviews.

Prepare the Application With Licensed Advisers

The application pack includes the business plan, financial projections, the regulatory business plan, the compliance monitoring plan, the AML documents and the individual forms for each controller. Licensed advisers prepare and review it with you so every answer is consistent across documents.

Submit and Manage the Review

Before submitting, we check every answer against the FCA's minimum information list, because the FCA can reject a submission without assessing it if anything is missing. That check is part of the crypto license UK cost you avoid paying twice.

The application goes in through the FCA's online system with the fee. The FCA then asks questions, often in several rounds, and may interview your senior people. We track every request and keep the answers consistent with what was filed. For MLR registration, the FCA must decide within 3 months of having all the information it needs.

What the FCA Tests in Interviews

Interviews focus on the people who will run the controls. The FCA asks the MLRO how alerts are reviewed, how suspicious activity is reported and how the travel rule works in practice. Directors are asked to explain the business model, the risks and the wind-down plan without notes. Preparation matters here as much as the documents, so we run practice sessions with your team before the FCA calls.

Moving From MLR Registration to FSMA Authorisation

Firms already registered under the MLRs must still apply for the new permissions; registration does not convert. If you are registered today, reuse your existing policies and data, but update them for the conduct, capital and Consumer Duty rules that registration never covered. Applying inside the window up to 28 February 2027 protects your ability to keep trading from 25 October 2027.

Documents for an FCA Crypto Registration

The FCA asks for documents on the company, the people, the money and the controls. Missing any of them stops the clock or leads to rejection without assessment, so build the full pack before you submit.

• Company documents: Certificate of incorporation, articles, register of members and group structure chart.
• People: CVs, identity documents, criminal record checks and fit and proper forms for every controller and manager.
• Business plan: Products, target customers, revenue model, three-year projections and a wind-down plan.
• Capital: Evidence of paid-up capital and the calculation behind the requirement.
• AML documents: Firm-wide risk assessment, AML policy, customer due diligence procedures and travel rule process.
• Systems: Description of KYC, sanctions screening, transaction monitoring and blockchain analytics tools.
• Governance: Board terms of reference, compliance monitoring plan and outsourcing arrangements.
• Promotions: How you will make or approve financial promotions to UK consumers.

The documents are not a formality. The FCA reads them against each other, and inconsistent answers between the business plan and the AML policy are one of the most common reasons for extra questions.

Crypto License UK Cost in 2026

The crypto license UK cost has four layers: forming the company, the FCA fee, the capital and the running costs. Our company formation is the smallest number, from €350 including the £100 Companies House fee. The FCA fee and the capital follow from your activities, and people are usually the largest line.

FCA fees checked against the FCA application fees page (updated 3 November 2026). Capital from PS26/12 (June 2026).

The FCA fee is non-refundable, so a weak file is the most expensive mistake you can make. For a crypto license, UK cost planning should start from the capital and the team. A broker arranging deals faces a very different budget from a firm dealing as principal, and both pay far more in salaries than in fees.

Crypto License UK Cost by Business Model

Each row shows the starting point, not the total. The fixed overheads and K-factor requirements can lift the capital figure well above the minimum once volumes grow, so plan the crypto license UK cost on your year-two numbers, not on launch day.

A First-Year Crypto License UK Cost Example

Take a broker that only arranges deals. For this crypto license, UK cost in year one starts with our company formation from €350, the £2,820 FCA fee and at least £75,000 of capital held in the company. Add an MLRO and a compliance officer, the KYC and monitoring tools, adviser fees for the application and annual FCA fees. The capital is not spent, but it is locked in the business, so plan the cash flow around it.

The same exercise for a custodian wallet provider starts at £11,260 and £150,000 of capital, and a principal dealer at £11,260 and £750,000. The fixed costs of people and systems are similar across models, which is why narrow scopes are cheaper to license and to run.

How Long a UK Crypto License Takes

MLR registration has a statutory deadline of 3 months from the point the FCA has everything it needs, but the real time is longer. The FCA's own data shows an average of 217 days to approval in 2025 and 243 days in 2024. FSMA applications in the current window run to their own timetable.

Figures from the FCA's freedom of information response FOI2026/00528, released 30 March 2026. Nine applications from 2025 were still being decided.

The trend is better than it looks. Approval times have fallen, and in 2025 no application was refused. Most applications that fail are withdrawn, usually because the firm could not answer the FCA's questions. A complete file is what turns a year into months.

The Application Window for the New Regime

The FCA opened its authorisation gateway on 30 September 2026, and the application window closes on 28 February 2027. Firms that apply in the window and are not decided by 25 October 2027 can keep operating while the FCA considers them, for up to two years after commencement. Firms that apply later get only a narrower exemption to finish existing contracts.

After the FCA Crypto License Is Granted

Approval is the start of supervision, not the end of the work. The FCA expects you to run the business exactly as described in the application and to tell it before anything important changes.

Ongoing Obligations

You pay annual FCA fees, file regulatory returns, keep capital above your requirement and test your AML controls. Authorised firms also follow the Consumer Duty and operational resilience rules, and every financial promotion must meet the UK rules. The FCA can visit, ask for information and restrict your business if standards slip.

Changes of Control

The licence belongs to the company and cannot be sold or transferred. Anyone who wants to become a controller of an authorised firm needs FCA approval first. Plan fundraising and exits with this in mind, because an investor who triggers the threshold before approval puts the firm in breach.

Keeping Your Banking Stable

Banks review regulated crypto firms often. Keep your account information current, explain unusual flows before they happen and send your bank the FCA register entry. If you also take crypto from customers, see how crypto payment gateways work. Read more on the best business bank accounts in the UK, UK business bank accounts and opening a UK business bank account.

Banking for a Licensed Crypto Company in the UK

Banking is the part founders underestimate. Some high street banks treat crypto firms as high risk regardless of licence, and an application can take weeks only to end in a refusal. Our crypto-friendly banking partner accepts licensed and applying crypto firms and opens multi-currency accounts in about a week.

Why High Street Banks Hesitate

UK banks must manage their own money laundering risk, and crypto flows are hard for them to trace without specialist tools. That is why a refusal is often about the bank's appetite rather than your business. See why banks reject business account applications for the full list of reasons and how to fix each.

A Partner That Takes Crypto

Our partner prices the account from €50 a month with a one-off €500 opening fee, free additional users and IBANs, and free transfers between your own accounts. SEPA payments cost 0.20% and FX is 0.8% over the interbank rate. We prepare the file and make the introduction, so the account is ready to hold your regulatory capital.

Read more: banking for crypto and Web3 companies and multi-currency business accounts.

Why FCA Crypto Applications Get Refused

Of the 386 crypto registration applications the FCA received from 2020 to 2025, 257 were withdrawn, 44 were rejected and 14 were refused. Almost every failure comes back to the same causes, and every one of them can be fixed before you file.

Weak AML Controls

The FCA expects controls that match your real risks: the coins you list, the countries you serve and the customers you take. Generic policies copied from a template do not pass. Your monitoring must actually run, with alerts reviewed and decisions recorded.

People Without the Right Experience

A money laundering reporting officer with no crypto background, or directors who cannot explain the business in interview, sink applications quickly. The FCA wants people who can run the controls, not names on a form.

Unclear Ownership and Source of Funds

If the FCA cannot trace who owns the firm and where the money came from, it stops. Complex structures across several countries need clear charts and evidence for every layer.

Inconsistent Answers

Business plans that promise one product while the AML policy describes another lead to more questions and, often, withdrawal. Consistency across every document is one of the simplest things to get right.

UK Crypto License vs Cyprus, Malta and Dubai

The UK suits firms that want British customers and the weight of FCA supervision. Cyprus and Malta suit firms that want the whole EU through one MiCA authorisation. Dubai suits firms focused on the Middle East. Many groups combine two of them.

MiCA capital from Regulation (EU) 2023/1114, Annex IV. Tax figures from each government's published rates.

The choice depends on where your customers are. A UK crypto license does nothing for EU clients, and an EU authorisation does nothing for UK consumers. If you need both markets, plan two entities from the start rather than adding the second one in a hurry.

UK vs Cyprus

Cyprus gives you the EU passport, a 15% tax rate and lower capital at the bottom end. The UK gives you a single large market and the FCA name. See our guide to crypto company formation in Cyprus.

UK vs Malta and Other Offshore Options

Malta also authorises under MiCA and has a long record with crypto firms. The Isle of Man and the BVI suit narrower models; see the Isle of Man crypto licence and the BVI VASP licence.

Who a UK Crypto License Is Wrong For

A UK crypto license is the wrong choice if you have no UK customers, no budget for capital and a local team, or a product the FCA is unlikely to accept. In those cases, a different base or a partner route saves you a year and a non-refundable fee.

Firms that only serve EU clients should go straight to MiCA. Firms that serve only institutions from abroad may not need a licence at all. And firms that want to offer products the UK restricts for consumers, such as crypto derivatives, should check whether the UK market works for them before they spend anything.

Common Mistakes When You Obtain a Crypto License in UK

The same mistakes appear in most failed applications. Each one costs time and usually the fee, and each one is avoidable.

Missing the Application Window

Firms that apply after 28 February 2027 do not get the transitional protection. If your application is not decided by 25 October 2027, you can only finish existing contracts. Missing the window by a week can mean months without new business. Apply in the window, with a complete file.

Treating MLR Registration as a Full Licence

MLR registration is an anti-money laundering check. It does not convert into FSMA authorisation, and it does not cover the new activities on its own. Firms that assume they are covered find out in October 2027. Map each activity to the right regime now.

Underestimating Capital

A firm dealing as principal needs £750,000 before anything else, and K-factors can lift that figure as volumes grow. Founders who plan only for the fee run out of money mid-review. Budget capital first, then fees.

Hiring the MLRO Last

The money laundering reporting officer is the person the FCA tests hardest. Appointing someone late, or someone without crypto experience, is one of the fastest routes to withdrawal. Hire early and involve them in writing the policies they will defend.

Bottom Line

For founders seeking an FCA crypto license, UK approval is one of the hardest to win and one of the most valuable once you hold it. The FCA approved about 16% of registration applications between 2020 and 2025, but most failures were withdrawals from firms that were not ready, and approval times are falling.

The timing matters more than ever. The new FSMA regime starts on 25 October 2027, and the application window closes on 28 February 2027. Decide your activities, form the company, put the capital and the team in place and file a complete application inside the window. We form the UK company, prepare the application with licensed advisers, run your KYC and AML on our own platform and open the account that holds your capital. Start with a UK limited company built for the FCA, and if you are based abroad, read our guide to UK company formation for non-residents.

Sources

• FCA, Information on authorisation of crypto firms registrations, FOI2026/00528 (30 March 2026)
• FCA, Authorisation and registration application fees (updated 3 November 2026)
• FCA, Cryptoasset firms: registration under the MLRs ahead of the new FSMA regime (updated 16 September 2026)
• FCA, Cryptoasset registration information for applicants (updated 20 July 2026)
• FCA, PS26/12: A prudential regime for cryptoasset firms (June 2026)
• FCA, FCA sets expectations ahead of incoming crypto marketing rules (7 September 2023)
• FCA, Expectations for UK cryptoasset businesses complying with the Travel Rule (17 August 2023)
• Mayer Brown, UK Cryptoasset Regime: the FCA Authorisation Gateway is Now Open (November 2026)
• Latham and Watkins, FCA publishes final rules for UK cryptoasset regime (June 2026)