Global Digital Finance (GDF) and the Crypto Council for Innovation (CCI) submitted a joint response to the UK Financial Conduct Authority’s (FCA) CP26/8 Quarterly Consultation Paper No. 51. The response broadly supports the FCA’s proposals to extend the Client Assets Sourcebook (CASS) framework to qualifying cryptoasset activities, viewing the approach as an important step toward a coherent, proportionate, and innovation-friendly regulatory regime for digital assets in the UK.
GDF and CCI welcome the application of established client asset protections to cryptoasset activities and support the FCA’s objective of ensuring consistent safeguarding standards across traditional and digital financial services. The response recommends targeted clarifications to strengthen the framework, particularly regarding stablecoin backing assets, the application of CASS 8 mandate rules, and the treatment of technology providers involved in custody arrangements, including multi-party computation (MPC) solutions.
The submission also provides recommendations on reconciliation requirements, cross-border custody arrangements, operational resilience, and the interaction between different CASS chapters. Overall, GDF and CCI encourage a technology-neutral, proportionate regulatory approach that supports innovation while maintaining robust client asset protections and advancing the UK’s ambition to become a global digital finance hub.
Submitted:
13/04/2026