The UK crypto industry trade body CryptoUK has called for a more efficient customer verification process, proposing that users who have already completed Know Your Customer checks should not be forced to repeat full document submissions when opening new accounts or wallets. Instead, the organization suggests that previously verified users could complete a simpler biometric verification, reducing redundancy and speeding up onboarding.
The proposal, announced on October 13, 2026, is aimed at improving user experience and conversion rates for crypto firms while maintaining compliance standards. CryptoUK also emphasized that clearer regulatory processes tend to improve sentiment and could encourage participation from users who have been deterred by cumbersome KYC requirements.
Separately, CryptoUK has expressed support for the Financial Conduct Authority’s proposed transitional deferrals concerning the upcoming UK cryptoasset regime. The new framework is scheduled to take effect on October 25, 2027, and the arrangements are detailed in the FCA’s Quarterly Consultation Paper No. 53 and CP26/32. The consultation outlines amendments to Chapter 4, covering admissions, disclosures, and execution policies for cryptoassets.
CryptoUK’s response calls for targeted transitional arrangements that would help firms adapt to the new rules without weakening existing regulatory obligations. It recommends clearer expectations and consistent compliance deadlines to address operational challenges. The FCA’s engagement with CryptoUK points to a more collaborative approach in shaping cryptocurrency regulation in the United Kingdom.
