The report also noted a problem with permissionless chains: a confirmed transaction can, in theory, be reversed by a chain reorganization. It introduces a final settlement risk that traditional infrastructures do not encounter.
Nevertheless, the report said, incumbents are converging in traditional finance and crypto-native businesses.
As an example, it cited Ripple’s purchase of prime broker Hidden Road for $1.25 billion. Hidden Road, now Ripple Prime, is listed among firms holding both an investment company license and cryptoasset registration covering spot and derivatives across forex and digital asset markets from the Financial Conduct Authority.
Santander UK’s use of Ripple’s blockchain for cross-border payments was named as a white-labeling example. The bank fronts the customer relationship, while Ripple’s technology moves the money.
Woolard puts the US and UK markets on similar timelines for stablecoin regulation, with both targeting full regimes by 2027. For wholesale policy, the UK is ahead of the US, where the Clarity Act remains deadlocked.
While the FCA already approves crypto companies under anti-money laundering rules, the regulator’s new regime under the Financial Services and Markets Act (FSMA) will start next year.
Applications under FSMA open on September 30, ahead of an October 2027 launch date.
The report admits the industry still sees UK authorization as slower than the US, where the SEC’s December 2025 no-action letter gave the Depository Trust Company a three-year tokenization pilot that lets companies go live rather than build to a test environment.
