Technical functionality has long played a starring role in the development of modern financial services. However, in the rush to build the next big thing, many providers have inadvertently overlooked a critical element: the human being at the heart of it all. Business-to-business (B2B) platforms have been guilty of differentiating more so on technical specifications, or look and feel, than their ability to impact the real lives of consumers. Beyond the code: addressing the human challenge The focus on te ...

Core Viewpoint - The UK Financial Conduct Authority (FCA) is initiating a consultation to determine if crypto firms should adhere to the same regulatory standards as traditional financial institutions, aiming to establish minimum requirements while considering the unique characteristics of the crypto sector [1][2]. Group 1: Regulatory Framework - The consultation paper CP25/25 explores the application of existing FCA Handbook rules to cryptoasset activities, with the goal of fostering a competitive and sustainable market that supports innovation while enhancing consumer trust [2][3]. - The FCA seeks to align crypto oversight with existing standards for banks and financial institutions, including governance obligations, systems to combat financial crime, and operational resilience measures, potentially introducing Environmental, Social, and Governance (ESG) requirements [3]. Group 2: Consumer Protection - A significant discussion point is whether the FCA's Consumer Duty should apply to crypto, which mandates firms to act in ways that yield positive outcomes for customers [4]. - The FCA is soliciting input on complaint handling processes, including the possibility for customers to refer disputes to the Financial Ombudsman Service [4]. Group 3: Industry Engagement and Feedback - The FCA has set two deadlines for feedback: stakeholders can comment on consumer duty and complaints handling until October 15, 2025, and responses to the broader consultation proposals are due by November 12, 2025, with final rules expected to be published in 2026 [7]. - The FCA plans to conduct a series of in-person and virtual events to facilitate industry engagement, seeking feedback from various stakeholders including crypto firms, trade groups, law firms, auditors, consumer advocacy groups, policymakers, and academics [8].