UK’s global digital finance ambitions needs action not consultations

The UK has made bold declarations to become a global hub for digital finance yet, whilst policymakers have been busy drafting legislation that mirrors the US regulatory model, implementation has been slow. This disconnect between vision and execution risks pushing digital asset providers, investors and fintech innovators toward more markets that already have clearer regulatory guidance, such as the Middle East, Singapore, the EU and the US. In a global race for

regulatory leadership, time may prove more valuable than ambition. The UK government’s crypto ambition is no secret and, in April 2025, HM Treasury published a draft statutory instrument to formally bring exchanges, wallet providers and stablecoin issuers under the Financial Services and Markets Act (FSMA) regulatory perimeter. The aim is to create a comprehensive, principles-based regime, so aligning with traditional financial regulations and recognising crypto as a financial product class. The draft rules also reflect a strong…