Colin Payne Says We’re Not Going to Apologize for Being Cautious

Key Takeaways

• The U.K. faces rising fintech competition from global hubs like Dubai, Singapore, and the U.S.
• Regulators emphasize caution, defending a measured approach to crypto innovation.
• Industry leaders warn of stagnation, urging the U.K. to move beyond its past fintech glory.

Once a global pioneer in fintech, the U.K. faces growing competition from regions like Dubai, Singapore, and the U.S.

The ongoing conversation between regulators and industry leaders has overwhelmingly centered on how to balance innovation with regulation.

Speaking at a panel at London’s ZebuLive crypto conference, Colin Payne, Head of Innovation at the Financial Conduct Authority (FCA), stressed the need for caution while also reminding the audience that the U.K.’s regulatory innovation remains world-leading.

U.K. Leaders Debate Crypto

During the panel ‘From FinTech Frontier to Crypto Capital’ industry and regulatory leaders debated whether the U.K. still has what it takes to lead the next wave of financial innovation, or if the momentum has shifted abroad.

Bivu Das, U.K. general manager at Kraken, countered the FCA’s comments by stating that “the country risks clinging to its past FinTech success.”

“Sometimes we talk about the bygone days of when we were leading FinTech“We shouldn’t be playing the old hits anymore. We need to be looking forward to the future,” he said.

“And if you look at Dubai, Singapore, and obviously the U.S., the big one, the center of gravity, I think, has noticeably shifted now,” he added.

Cautious Approach to U.K. Crypto Regulation

Former MP Dr Lisa Cameron, now head of the U.K.–U.S. Crypto Alliance, said Westminster must catch up with the pace of change. “There’s a bit of denial in Parliament,” she warned. “If we don’t act now, we’ll be left behind. The time for talking is finished.”

Payne defended the FCA’s measured pace. “We’re not going to apologise for being cautious,” he said.

“We all remember NFTS, we all remember Bored Apes. Two years ago, a 99% drop in value.”

“There are areas where we have to be cautious when we approach,” Payne added.

Young Investors

The U.K. recently lifted a ban on retail exposure to exchange-traded notes (ETNs) in the U.K., which had been in place since 2021.

According to recent IG research shared with CCN 50% of U.K. investors aged 18–24 would consider investing in crypto ETNs.

While the U.K.’s approach to crypto regulation may lack the assertiveness of the EU or the theatrics of the U.S., mounting industry pressure and a drive to remain globally competitive are gradually softening resistance and shaping a more proactive stance.