Galaxy Digital UK Secures FCA Approval for Derivatives Trading

Galaxy Digital UK, a subsidiary of the prominent digital asset financial services firm, has achieved a significant regulatory milestone by securing approval from the UK Financial Conduct Authority (FCA) to conduct derivatives trading. This approval, granted in 2021, allows Galaxy Digital UK to manage derivatives trading operations from its London facility, enhancing its ability to serve institutional clients within a top-tier global financial market. The company's core business efforts aim to integrate traditional financial services with digital assets, positioning it as a leader in the digital asset derivatives market.

The FCA approval enables Galaxy Digital UK to expand its institutional offerings, including capital raising and investment banking services from its London office. This regulatory status better equips the company to serve institutional customers seeking digital assets, supporting its asset management business through fund distribution activities. The approval also allows Galaxy Digital UK to provide innovative trading solutions while adhering to current regulatory requirements, as highlighted by Leon Marshall, CEO of Galaxy Europe and Global Head of Sales. Marshall emphasized that London's status as a vital global financial center provides Galaxy Digital with better opportunities to expand its operations across the UK market.

Galaxy Digital, with over 1,300 institutional clients and divisions across Europe, North America, and Asia, can now strengthen its support for global digital asset demand. The FCA license confirms Galaxy Digital's role as a leading player in the digital asset derivatives market. Marshall commended the UK's approach to crypto regulation, noting the nation's vision to maintain an emerging regulatory framework that supports continuous development. He also highlighted the UK government's commitment to innovation and investment, which has established the country as an attractive hub for digital asset businesses. The region's exceptional pool of talented workers, leading universities, and entrepreneurial spirit drive its success in digital assets.

Despite the regulatory approval, Galaxy Digital has faced legal challenges. The company recently accepted a $200 million payment deal with the New York Attorney General’s Office for promoting the cryptocurrency LUNA without disclosing its disposal of holdings. However, the FCA approval allows Galaxy Digital UK to develop new services and earn trust from institutional investors, reinforcing its market dominance through regulatory endorsement across strategic markets. The evolving digital asset industry requires firms to understand and follow all necessary regulatory requirements, and Galaxy Digital continues to build strength through compliance and innovation.