UK Crypto Regulation Delays to 2027 Spur Firm Exits Amid US Scrutiny

UK plans to become a crypto hub are faltering due to fragmented oversight and slow policymaking, with new rules delayed until October 2027. This follows Sen. Elizabeth Warren's May 19 letter to the OCC challenging national trust charters granted to at least nine crypto firms, including affiliates of Ripple, Paxos, and Coinbase, which she claims violate the National Bank Act and enable unregulated bank-like activities. The combined regulatory uncertainty across the US and UK is heightening downside risks for BTCUSD, with the UK already losing hundreds of millions in tax revenue as firms like Deribit and Coinbase affiliates relocate.