CPs25/14 And 15: The FCA's Explosive Start To Its Path To Regulating Cryptoassets

On Monday 2 June 2025, Sicily's Mount Etna, one of the world's most active volcanoes, erupted. Parties of tourists in the area were led to safety, while those even 45 kilometres away in Taormina were able to see the billowing clouds of ash and smoke. It is a relief that no one was harmed.

Only five days earlier, the UK cryptoassets sector had itself witnessed one of the most significant eruptions in its much briefer history: the simultaneous publication of CP25/14, setting out proposed FCA rules and guidance for relevant firms involved in stablecoin issuance and cryptoasset custody (the S&C CP), and CP25/15, doing the same for those firms' prudential requirements (the Prudential CP). While Etna appears to have quietened for now, the reverberations from these publications will be felt for a very long time, and there are many more blasts to come. We are all volcanologists now.