On January 29, the UK government issued guidance instructing banks and other financial institutions not to deny basic banking services solely because a customer operates in crypto. The policy emphasizes case-by-case assessment of crypto clients rather than blanket prohibitions.
Risk Management and Compliance Remain Core
Although the government ensures basic services for compliant crypto firms, banks must continue to rigorously fulfill anti-money laundering (AML) and counter-terrorism financing (CFT) obligations. Regulatory oversight will not be relaxed, safeguarding financial system integrity and stability.
On-Chain Behavior Analysis Supports Compliance
In day-to-day operations, the traceability and compliance of on-chain transactions are key considerations for crypto firms. Tools like Trustformer KYT allow financial institutions to quantitatively analyze client transaction patterns, improving compliance risk assessment and ensuring AML/CFT requirements are met.
Promoting Healthy Crypto Industry Development
The UK policy reflects regulators’ effort to balance innovation encouragement with risk control. By clarifying banking service principles and promoting the use of risk management tools, compliant crypto firms in the UK can operate in a more robust environment, while industry transparency and traceability are further enhanced.