US and UK Advance Crypto Regulation with New Legislative and Banking Developments
The UK Treasury has proposed legislation aimed at bringing crypto firms under the full regulatory oversight of the Financial Conduct Authority (FCA), marking a significant move towards mainstream regulation of crypto activities.
In the US, regulatory actions this week also signaled a shift towards increased clarity and integration of crypto within traditional financial frameworks. The Securities and Exchange Commission (SEC) issued a no-action letter regarding tokenized stock offerings, providing the market with clearer guidance and reducing the immediate risk of enforcement actions.
Additionally, the Office of the Comptroller of the Currency (OCC) granted national bank charters to crypto-native firms such as Circle and Ripple. This places these companies squarely within the US banking system, facilitating closer alignment between crypto enterprises and established financial institutions.
These developments reflect a broader regulatory trend where tokenized assets and stablecoins are being regulated as financial infrastructure. This approach helps bridge crypto markets with traditional finance, promoting greater integration and oversight.
Tokenized equities, stablecoins, and real-world assets (RWAs) continue to grow in prominence on blockchain platforms including Ethereum, Solana, and emerging hybrid platforms, underscoring the increasing institutional adoption of these technologies.
The SEC also released an investor bulletin outlining the basics of crypto custody, further supporting investor understanding and regulatory transparency.
Together, the moves by UK and US regulators represent significant steps toward formalizing the role of crypto within established financial and regulatory systems, reflecting the growing mainstream acceptance and oversight of on-chain activities.
