The Financial Conduct Authority (FCA) in the United Kingdom has introduced new regulations that could significantly impact crypto firms. Under the proposed 'cryptoasset perimeter' guidance, any firm holding client crypto assets for longer than 24 hours during trade settlement will be classified as a regulated custodian, necessitating a full safeguarding license. This regulation aims to enhance consumer protection as the crypto sector matures. Additionally, validators and node operators must be cautious, as providing any added-value features will strip them of their tech-only exemptions, requiring full approval for staking activities. For stablecoin issuers, the regulations mandate that they must be based in the UK and manage the entire lifecycle of the stablecoin, from issuance to redemption. The FCA is accepting feedback on these proposals until June 3, 2026, and plans to finalize the rules in the summer. Firms must apply for compliance between September 30, 2026, and February 28, 2027, or risk severe penalties, including potential closure.