The UK’s Financial Conduct Authority (FCA) has launched a consultation to seek public feedback on its proposed new regulations for the cryptocurrency sector. The FCA aims to establish a regulatory framework that adequately protects consumers while promoting innovation in the burgeoning field of digital finance. The regulator is seeking input from market participants, consumers and other stakeholders on a range of issues, including the classification of different types of crypto assets, the application of regulatory requirements to crypto exchanges and wallet providers, and the potential benefits and risks associated with stablecoins and decentralised finance. The FCA has previously expressed concerns about the high level of risk involved in investing in unregulated crypto assets, and it hopes that the new rules will enhance consumer protection and market integrity. The consultation period will last until the end of September, and the FCA plans to publish its final rules by early 2023.