UK Tightens Crypto Regulations: Credit Card Purchases Banned, Stablecoins Allowed

The UK’s financial watchdog is enacting new regulations to curb risks associated with cryptocurrency investing for retail consumers. The Financial Conduct Authority (FCA) plans to block purchases of cryptocurrencies using credit cards and e-money lines, a move aimed at protecting investors from financial losses. 7 million UK adults now own digital assets, despite the FCA’s warning that investments remain risky. However, the FCA is allowing borrowing funds for stablecoins, as long as they are issued by regulated firms.