BCB Group - BLINC Magazine - Issue 4

ISSUE 04 / WINTER 2026

DIGITAL ASSETS REACH NEW INFLECTION POINT

CELEBRATING FIVE YEARS OF BLINC

Why risk is now the real deal

The UK at a regulatory crossroads - can it compete with the EU and US?

SETTING THE AGENDA FOR BLINC LIVE! 2026 IN COLLABORATION WITH AON

A MILESTONE FOR CRYPTO ADOPTION

CONTENTS

WE ARE BCB GROUP The regulated platform for institutional crypto and fiat finance HELLO LONDON

CONTENTS ISSUE 04 / WINTER 2026

COVER STORY 10

18 R I SK THE REAL DEAL

2025 marked a pivotal year for the development of digital finance. 2026 is shaping up to shift our ecosystem even further. After years of experimentation, uncertainty and regulatory ambiguity, the industry has reached a genuine inflection point. Mature regulatory frameworks have emerged or are being developed across major jurisdictions − giving institutions the clarity they need to embed digital assets at scale. Institutional participation is accelerating, and digital assets are moving decisively from the margins of finance into its core infrastructure − helping to bridge the gap between digital finance and traditional fiat. With that progress, however, comes a fresh set of challenges. Risk management, insurance, governance and operational resilience are no longer peripheral considerations, but central to how digital asset businesses scale responsibly and sustainably. Against this backdrop, we are proud to launch BLINC Live!, our new flagship event, delivered in partnership with Aon. This event has been carefully curated to deliver an agenda reflective of a record- breaking year for our ecosystem. BLINC Live! brings together senior leaders from exchanges, banks, stablecoin issuers, funds, payment providers and insurers to explore the themes shaping the important year ahead. CFOs will offer their perspectives on managing balance sheet and regulatory risk, the evolving scrutiny of stablecoins, and remittances and settlement infrastructure. The conversations will reflect the realities of an industry entering a more mature, regulated phase. Risk and insurance will be threaded through every discussion. As digital assets scale, so too must the frameworks that protect them. Our partnership with Aon reflects a shared belief that through regulation, transparency and robust risk transfer, the next wave of institutional adoption will be unlocked. Finally, in my new role, I look forward to working with our clients and the broader industry to set the agenda and goals for the next stage of digital assets. TIM RENEW Chief Executive, BCB Group

22 HYPE COMPLIANCE

THE END OF CRYPTO EXPERIMENTS

04 PULSE INDUSTRY ROUND-UP

24 HYPE WEBINAR

BL I NC ANNIVERSARY 08

28 CREDS

MIDDLE EAST UPDATE

SAFEGUARDING 30 CLIENT SAFETY 34

REGULATION RADAR

THE LAST WORD

EDITORIAL Managing Editor Sam Shrager sam@bcbgroup.io Editors Amber Walduck amber@bcbgroup.io Alex Dehn alex.dehn@bcbgroup.io Joe McGrath joe.mcgrath@rhoticmedia.com Elizabeth Pfeuti elizabeth.pfeuti@rhoticmedia.com

BLINC is produced for BCB Group by Rhotic Media, financial services marketing specialists. Rhotic Media Ltd

Niamh Smith niamh.smith@rhoticmedia.com Evy Williams evy.williams@rhoticmedia.com James Hetherington james.hetherington@rhoticmedia.com Art Director Emma Hampshire emma.hampshire@rhoticmedia.com

ISSUE 04 / WINTER 2026

5th Floor 5098, Aldgate Tower, 2 Leman Street, London, E1 8FA UK company registration number 11295861 VAT Number GB 302 9736 09

DIGITAL ASSETS REACH NEW INFLECTION POINT

CELEBRATING FIVE YEARS OF BLINC

BCB Group Bloomsbury House 74-77 Great Russell Street London WC1B 3DA

Why risk is now the real deal

The UK at a regulatory crossroads - can it compete with the EU and US?

Photography Michael Walter Troika Photos

SETTING THE AGENDA FOR BLINC LIVE! 2026 IN COLLABORATION WITH AON

A MILESTONE FOR CRYPTO ADOPTION

PULSE • INDUSTRY ROUND-UP

Pulse FCA sharpens focus on crypto regulation THE Financial Conduct Authority (FCA) opened three consultations on December 12, 2025, regarding proposed rules and guidance for firms conducting regulated crypto asset activities, marking a key step in the UK’s effort to bring digital assets fully within its regulatory perimeter. The consultation, which runs until February 2, 2026, is intended to support the development of a competitive and sustainable crypto asset sector in the UK, while further strengthening consumer protection and market integrity.

TIM RENEW has been appointed Chief Executive of BCB Group, taking up the role at the end of January 2026 as the company enters a new phase of expansion. Co-founder Oliver Tonkin becomes President. The leadership changes reflect BCB’s ambition to scale its customer base, attract new investors and accelerate its geographical growth after a year of strong momentum. BCB has pushed hard to build a global presence. The company has invested in strengthening its management team, expanding its product proposition and raising fresh capital from investors. Renew joined BCB as Chief Revenue Officer in July 2024, becoming Deputy CEO shortly afterwards. His promotion signals the company’s intent to strengthen its commercial engine as it prepares for its next chapter. Tim Renew, the newly appointed Chief Executive, said: “It is a real privilege to step into this role. BCB Group has achieved a huge amount in the past 12 months and there is a genuine sense of momentum across the business. Renew takes helm as BCB expands

its growth journey. Its Series B raise is nearing completion, a process that has brought new voices into the business and reinforced confidence in its long term strategy. At the same time, BCB has been widening its global reach. The team has focused on deepening its regulatory presence in key regions so that clients can operate with greater certainty as the digital asset landscape matures. This work is shaping the company’s expansion plans for the year ahead, with new markets opening and existing ones becoming more active. Tonkin said the timing of his move to become President represents an exciting step for the business. He said: “BCB has grown rapidly over the past year, and Tim’s promotion marks the start of yet another chapter. We have strengthened our leadership team, broadened our product offering and continued to win the confidence of clients and investors around the world. “My focus now is to support that momentum and help ensure we scale in a way that stays true to the values we founded the company on. Tim brings deep experience and a global

Firms operating across the crypto asset value chain have been encouraged by the FCA to engage with the process and provide feedback on the proposed framework. The FCA is also holding workshops with firms already operating in or wishing to enter the sector. “As a company that holds itself to the highest standards of regulation and views it as central to all operations, BCB Group welcomes the FCA’s deep engagement with the future of digital assets in the UK,” said James Sullivan, Chief Risk and Compliance Officer at BCB Group. “Clear and proportionate rules are essential to building trust and supporting the long-term growth of the sector.” Designed to inform the UK’s developing regulatory regime, the consultation examines how the unique characteristics of crypto assets should be reflected within existing financial services rules, while addressing risks that differ from those associated with traditional instruments. The Regulating Crypto Asset Activities paper outlines the FCA’s

proposals to regulating a broad range of crypto asset activities, including trading platforms, brokerage, custody, lending and borrowing, staking arrangements and decentralised finance. According to the regulator, the proposals aim to ensure that firms operating in the sector meet standards comparable to those applied across traditional financial markets, particularly in areas such as governance, risk management, disclosures and operational resilience. Same risk, same regulation. The FCA has said this approach is intended to enable innovation while maintaining high regulatory standards. The proposals set out in the paper have been shaped by extensive engagement with crypto-native firms, traditional financial institutions, consumers and overseas regulators. The consultation also builds on feedback gathered through earlier discussion papers and policy roundtables held by the FCA with the industry throughout 2025, reflecting the regulator’s increasingly proactive engagement with the sector. industry, reducing financial barriers and increasing visibility for women’s and youth teams. “This recognition reflects our core belief that digital finance should be accessible to all. Our work with Spencer Hockey Club allows us to bring education and opportunity to new audiences — and to demonstrate what responsible, community-driven sponsorship can achieve,” said Tim Renew, BCB Group's CEO. The initiative aligns with BCB Group’s broader diversity strategy, which includes supporting women through tech boot camps and working with specialist partners to widen access to careers in crypto and fintech.

“We have a strong team, supportive clients and investors, and a product set that is resonating globally. My focus now is on helping us scale in a way that feels structured, collaborative and enjoyable for everyone involved. “I have spent my career building relationships across the fintech, banking and web3 worlds and I am excited to continue that work with a company with such clear potential.” BCB enters 2026 with a clear sense of direction. The company has spent the past year strengthening its foundations, building closer

network that will serve us well as we move into this next phase.”

relationships with investors and preparing for the next stage of

BCB GROUP has launched its pioneering loyalty programme, BLINC Rewards, to mark the network’s anniversary. To celebrate the year-on-year BCB launches client rewards

BLINC was built with them, and it has grown because of them. BLINC Rewards is our way of saying thank you. It strengthens our ecosystem by rewarding people for contributing to it. This is about deepening relationships and recognising the network effects our customers create every day,” said Squire. Now recognised as a core layer of the global digital-asset economy, the network has processed more than $200bn in transaction volume, linking over 400 institutional clients and creating 79,800 potential settlement connections across the global digital-asset ecosystem.

Multiple awards for BCB Group

2025 saw a wave of industry recognition for BCB Group, reflecting its rapid growth and a series of successful initiatives delivered throughout the year. The company secured six shortlistings across individual, team and campaign categories at the Financial Promoter Awards 2025, positioning BCB among the most widely recognised firms in this year’s competition. "Last year, we delivered multi- channel campaigns across global jurisdictions, supported BCB’s regulatory-first growth agenda,

and built a brand that reflects the strength of our partnerships and people,” said Sam Shrager, Chief Marketing Officer at BCB Group, at the time of the shortlisting. On the night, the team was awarded Partnership Initiative of the Year for its work with South London’s Spencer Hockey Club. Further success followed as Marketing Executive Amber Walduck received the prestigious Young Financial Promoter of the Year award. BCB’s work with Spencer Hockey Club has become a model for values- led engagement in the digital finance

success of BLINC, the rewards system has been designed to provide clients with rewards in response to how actively they are using the platform. Tom Squire, BCB Group’s Chief Revenue Officer, said the development reflects the firm’s gratitude for its clients from launch to annual success.

As BLINC enters its next phase of growth, expanding into new currencies and preparing for integration with stablecoin and tokenised-asset settlement will be an increasing priority.

“We’ve always been deeply committed to our customers,

PULSE • INDUSTRY ROUND-UP

BCB GROUP has marked five years of its proprietary instant payment network, BLINC, which has evolved from an internal concept into infrastructure trusted by institutional clients. BLINC, launched in July 2020, was designed to remove reliance on conventional payment rails such as SEPA and SWIFT, enabling faster and more efficient settlement for BCB Group’s clients. Last year saw the launch of BLINC Magazine, providing clients and the wider market with regular insights ranging from regulatory developments to broader industry trends. Over its lifespan, BLINC has gained increasing recognition across BCB celebrates BLINC milestone

Institutional custody: from consolidation to convergence

transformative improvements to our institutional offering,” said a spokesperson for Bitstamp, BLINC’s launch partner. “Real-time settlement has significantly reduced operational risk and strengthened treasury management, enabling us to deliver the speed and reliability required by professional traders.” Jonathan Milks, Chief Executive Officer at Stillman Digital, added that BLINC has “transformed our ability to move funds and process settlements for client counterparties,” citing improved speed, transparency and scalability. The network now supports

respondents maintained interest in investing in tokenised assets. “Traditional custodians have never not looked at digital assets, some have made more noise than others, but they have all been operating” in the space, Mortensen said. He explained that the development of digital custody solutions, from a traditional standpoint, was previously being developed behind-the-scenes. However, as the industry sees a “shift from retail to institutional investors,” digital custody solutions are being increasingly offered.

of digital and traditional finance, transforming the landscape for all. STABLECOINS ACCELERATING CHANGE The panel also noted the impact of stablecoins. “Institutions are going to see a huge leap in the adoption of stablecoins, from fintechs to corporations and institutions,” said Walker. She highlighted how stablecoins can support custodians in their growth, noting that as the movement of stablecoins proliferates, they help link digital custodians and expand the broader digital custody ecosystem. This type of consolidation, driven by the adoption of stablecoins and other strategic initiatives, is not just about merging firms, but about building interconnected networks and capabilities that position custodians to serve a broader, more integrated market. BCB Group reflects these developments through offerings such as its BCB Crypto Account, which allows clients to create multiple sub-accounts, each denominated in a different crypto or fiat currency. This capability supports a unified, seamless experience, bridging traditional and digital assets in a single platform, a practical example of convergence in action within the custody space. The panel concluded with a shared perspective: while the balance between consolidation and convergence may differ depending on the use case, one thing is clear: custody is undergoing a pivotal transformation driven by digitisation. As traditional and digital finance continue to intersect, the industry is moving toward a more integrated, seamless, and client-centric future, where technology, regulation, and innovation collectively define the institutions best positioned for what’s next. BCB Group is pioneering this shift with a proactive, regulation-first approach, fostering confidence as the industry moves from consolidation to convergence.

CUSTODY is entering a phase of redefinition. The accelerating digitisation of the global financial ecosystem has forced every sector to adapt, and custody, both traditional

and digital, is no exception. Custody has unexpectedly

become the bridge, and in many ways the catalyst for digitalisation, drawing traditional and decentralised finance into closer alignment. Traditional custody and digital asset custody remain distinct in their processes and infrastructure. Yet, as institutions push for the transparency, programmability, and liquidity enabled by distributed ledger technology, a new strategic question has emerged: is the digital asset custody industry

settlements in USD, GBP, EUR, CHF, JPY, AUD, NZD and SGD,

financial markets, supported by a growing network of partnerships that have extended its global reach. “Our integration with BCB Group’s BLINC Network has delivered centred on the efficient movement of funds across borders,” said Squire. “Access to the BLINC network gives clients direct connectivity to liquidity and FX providers, which has become a key differentiator. Crypto-friendly accounts were the initial draw, but as banks have eased risk appetites, that advantage has increasingly become commoditised.” For remittance firms, cost and reliability are critical. Operating on thin margins, providers are highly sensitive to transaction fees, settlement delays and failed payments.

with BCB Group positioning BLINC as a core component of its long-term strategy as institutional adoption of digital assets continues to expand. Even small inefficiencies can tie up capital, disrupt cashflow and erode competitiveness. Faster settlement reduces the amount of capital firms need to hold, improving returns and operational flexibility. BLINC has been designed to address these pressures by enabling real-time, 24/7/365 settlement across jurisdictions, reducing reliance on slower payment rails and minimising operational risk. The network allows institutions to move funds internally with greater speed and transparency, supporting treasury management and improving predictability for cross-border flows. With institutional demand for stablecoin-enabled payments continuing to grow, BCB Group sees remittance as a natural extension of its infrastructure offering. As the market moves beyond early adoption, networks such as BLINC are positioning themselves as the backbone for the next phase of cross-border payments.

BCB’s place amongst the growth of remittance

From Mortensen’s perspective, custody falls under convergence, as traditional custodians have been working on digital assets quietly, and are now bringing those capabilities forward as institutional demand grows. Momeni echoed this sentiment, offering the reason that custody is falling under a period of convergence is because “clients are seeking a unified experience.” “For clients, when they look at their platform, they simply don’t see a distinction between digital currencies, tokens, and traditional currencies, " said Momeni. “In their view, these are all just assets. And once everything sits within a single operating system, it effectively becomes the same asset type they’ve always worked with, only a better version, offering improved collateral management, greater visibility, and more transparency." BCB Group recognises this client demand for seamless interaction across asset types. By using Metaco’s flagship platform to deliver a unified experience, the firm is aligning with its core vision: seamless integration

consolidating, or converging? This question framed a key

discussion at the Future of Finance: Annual Custody Event, where Mori Momeni, Head of Product for digital asset operations at BCB Group, shared her perspective, that “clients are seeking a seamless experience.” The panel, moderated by Dominic Hobson, Co-Founder and Editorial Director of Future of Finance, featured Angie Walker, Head of Commercialisation at Apex Group; Anya Nova, Director of Sales Europe at GK8 by Galaxy (Nasdaq: GLXY); Soren Mortensen, Director of Global Financial Markets at IBM; Lorna Nolan, Independent; and Bart Garré, Legal,

THE increase in regulatory clarity, alongside BCB Group’s commitment to operating within it, has seen new use cases emerge that require specialist financial infrastructure such as BLINC. The global remittance market reached $905bn in 2024, a year that also marked significant progress in real-time payments and stablecoin-based settlement. Together, these developments are reshaping how funds move across borders, particularly for institutions seeking faster, cheaper and more reliable alternatives to traditional correspondent banking. As Tom Squire, Chief Revenue Officer at BCB Group, explains, remittance is becoming an increasingly relevant use case for the firm’s network. “Remittance sits at the intersection of foreign exchange and stablecoins,

Governance and Regulatory (Innovation, Data and Cyber) at Euroclear. CONVERGENCE DRIVEN BY CLIENT DEMAND

The panel pointed out the rapid growth of digital assets in general, especially this year. Research by EY Parthenon concluded the most important area requiring clarity was crypto custody; however, over half (57%) of

BLINC • ANNIVERSARY

THE FUTURE OF CRYPTO FINANCE As BLINC celebrates its fifth

“BCB Group has also made a conscious effort to keep BLINC

efficiency and reliable payment rails have been critical to its client satisfaction. For Bistamp, operational efficiency and dependable payment infrastructure are fundamental to its global exchange business, and its integration with BCB Group’s BLINC Network has significantly strengthened its institutional offering. According to the company, the BLINC integration “has delivered transformative improvements to our institutional offering,” adding that its real‑time settlement capability “has drastically reduced operational risk and improved treasury management for our institutional clients,” ensuring the speed and reliability required by professional traders in the fast‑moving digital asset market. For Johnathan Milks, CEO at Stillman Digital, "BLINC has transformed our ability to move funds and process settlements for our client counterparties, driving instant and reliable payments for some of the largest digital asset–native institutions". "The speed and transparency it delivers has unlocked new efficiencies and scalability for us and our clients,” Milks says. Meanwhile, James Owens of Deus X Pay, noted: “BLINC has made our settlement process effortless; it’s quick, seamless and highly efficient”. These comments highlight BLINC’s five-year track record in navigating the transition from batch to real-time settlement that has reshaped the industry, allowing these businesses to meet their core customer demands. As Tom Squire, BCB Group’s Chief Revenue Officer explains: “BLINC is a game changer for cross-border payments. Our customers' positive feedback highlights just how

As crypto markets mature, BLINC shows how real-time settlement and regulatory trust are becoming foundational to institutional digital finance. The future of crypto settlement

seamless and simple from a customer experience perspective,” she adds – which has been crucial to its success. And the figures bear that out. With $200bn in transaction volume processed, BLINC has linked over 400 institutional clients and created nearly 80,000 potential settlement connections across the global digital asset ecosystem. James Sullivan, BCB Group’s Chief Risk and Compliance Officer, has made the move “from user to evangelist” and has this as his walking testimony: "As a BLINC customer at two different crypto firms, I saw it as the essential plumbing that finally made fiat move at the speed of crypto. It was such a game-changing product that I didn't just want to use it; I had to join the company that built it," he says. "In the 24/7 crypto market, waiting for banks was a bottleneck; BLINC was the instant, institutional-grade solution we needed. It worked so well from the outside that I was compelled to come inside and be part of the team building its future." BCB Group’s President and co- founder Oliver Tonkin adds: “We founded BLINC in 2020 to allow customers to settle fiat transactions as quickly as crypto transactions, instantly 24/7/365, no matter what the currency they want to use and no matter where they are. “We are proud to act as such an integral part of the global digital asset

anniversary, it’s time to look ahead. Speed and trust will dominate crypto finance as institutions demand instant settlement, reliability, security and regulatory clarity. The rise of DeFi could reshape liquidity and settlement models, with smart contracts, central bank digital currencies and automation reducing reliance on cross-border intermediaries and ‘democratising’ global crypto payments. As regulation matures, we will see a deeper integration of DeFi platforms with traditional finance. Meanwhile, BCB Group predicts that AI-powered compliance frameworks will automate risk management and fraud detection across fragmented regulatory landscapes, leading to more scalable, transparent and resilient systems. At the same time, an expansion in rapid cross-border transactions seems likely. BLINC is entering its next phase of growth, expanding into new currencies (now in USD, GBP, EUR, CHF, JPY, AUD, NZD and SGD) and preparing for integration with stablecoin and tokenised-asset settlement. In a landscape where a matter of microseconds can set up a competitive advantage, BLINC will continue to be the trusted solution, setting the roadmap for the future of crypto finance. Explore BLINC’s future-ready infrastructure at bcbgroup.com

CRYPTO never sleeps. In the world of digital assets, speed and trust are everything. Markets operate around the clock, across borders, with participants demanding instant access to liquidity and settlement. Traditional batch-based systems, designed for slower-moving financial environments, simply can’t keep pace with the relentless rhythm of crypto. As crypto markets continue to mature, scrutiny over settlement infrastructure will only intensify. Since its launch in 2020, BCB Group’s pioneering instant-settlement network BLINC has been a paradigm shift, enabling real-time settlement that matches the tempo of the world’s fast-moving crypto markets. Today, BLINC has become the premier multi-currency settlement network for the global digital asset industry. In this article we explore how it’s well placed to be a model for the next generation of crypto finance. REAL-TIME, REAL BENEFITS

Unlike legacy payment rails, BLINC eliminates delays and fees. Without the friction of waiting for batch windows, institutions using it can move capital seamlessly and look for opportunities in a market that never pauses. BCB Group’s Chief Technology Officer Armin Ranjbaryan takes up the baton: “From the outside, BLINC stood out for pragmatic engineering and real-world compliance thinking, not hype. Five years on, that discipline shows in how reliably it performs." REGULATORY PRESSURES, INSTITUTIONAL EXPECTATIONS Navigating the intersection of mounting regulatory scrutiny and rising institutional demand is a real challenge – and an opportunity – for the future of crypto settlement. Users expect near-instant movement and finality. And as regulators intensify oversight, they expect settlement providers to meet the same rigour as traditional financial institutions. For institutional clients, this translates into heightened expectations of both speed and efficiency, and alignment with evolving regulatory frameworks to safeguard capital and reputation. Put together, this hints at a future for crypto settlement hinging on companies such as BCB Group proving they can bridge the gap between innovation and regulation. In other words, infrastructure that satisfies both

compliance mandates and the appetite for scalable digital asset services. BCB Group’s regulatory-first approach − it is authorised by the Financial Conduct Authority, Autorité de Contrôle Prudentiel et de Résolution and registered with Autorité des Marchés Financiers − reassures institutions that innovation is balanced with compliance, paving the way for the agility and reliability institutions need to thrive. This dual focus on operational efficiency and regulatory resilience positions BLINC as a blueprint for the future, bridging traditional finance and digital assets while meeting the expectations of regulators and institutional clients alike for speed and trust. BLINC – A PROVEN MODEL To bridge the gap between crypto speed and banking trust across global markets, a solution had to reflect the 24/7 nature of digital assets. The reason BLINC hit the mark so quickly was that from day one it offered instant, secure and scalable settlement across multiple fiat and digital currencies, while at the same time translating into reduced costs for financial organisations. "BLINC was launched when the bridges between these two worlds were much less well established than they are now,” Mary Pennington, Head of Product at BCB Group, says.

ecosystem, acting as the bridge between the traditional financial markets and digital assets.” TRUSTED BY INDUSTRY LEADERS

With over 250 clients and industry- leading partners, including Gemini, SwissBorg and Kraken, BLINC has become the go-to critical infrastructure solution for crypto exchanges, liquidity providers, market makers and many more besides. BCB Group's 2020 launch partner Bitstamp, the world’s oldest active cryptocurrency exchange, remains a key part of the success story. It is keen to highlight how BLINC’s operational

crucial BLINC's instant settlement is, not just for them, but for their own customers'

As the industry axis shifts from batch to real-time settlement,

BLINC’s innovation is a catalyst for transforming how existing financial infrastructure copes with the demands of the global crypto economy. Not only does real-time settlement enable faster, more flexible financial

success. Five years in, and we're just scratching the surface of BLINC's potential.”

operations, but it also reduces counterparty risk and increases liquidity efficiency.

COVER STORY • AON PARTNERSHIP

As regulations mature, institutions are transferring ownership of digital assets from product teams to group risk, compliance and board-level governance. The end of crypto experiments

“The tone from policymakers has become more welcoming, and that has given institutions more confidence in the longevity of any investment they make in the space,” says Poland. Developments in the US – along with the EU’s MiCA rules − have compelled large institutions to consider digital assets across the whole organisation, rather than just in single product verticals or innovation teams. Sullivan reinforces this view, arguing that regulatory clarity has been the most important factor in changing institutional perception. He highlights how the UK's prospective regime can also “bring UK crypto trading platforms, brokers and custodians into the regulatory perimeter and apply familiar rules for capital”. “MiCA has been difficult for businesses to digest and implement and has been subject to lots of challenges from the industry. In addition, it has been applied inconsistently in different jurisdictions,” Poland adds. However, MiCA has created a new framework that can help institutions launch new products more confidently. "Whilst MiCA is far from the gold standard, it has at least drawn a clear regulatory perimeter, which means institutions can start to offer products knowing where the line is,” Poland adds. This regulatory legibility hasn't just changed policy debates but how institutions engage internally.

UNTIL RECENTLY, digital assets were constrained to the fringes of the financial services sector. They were neither dismissed nor embraced but rarely entered into conversations beyond product teams or innovation

Officer at BCB Group, have key insights on this trend. Sullivan notes that institutions are responding to the alignment of digital assets with familiar legal and regulatory structures, which help justify engagement at the board and Chief Risk Officer (CRO) level. Ahead of the joint Aon–BCB Group BLINC Live! event in London in February 2026, both firms are keen to highlight a seismic shift in how large institutions now view digital assets. The event will bring together institutions, insurers and regulators to explore how optimising governance, safeguarding and risk transfer will shape the next phase of digital asset adoption. US SPARKS AN INFLECTION POINT Poland says the changing narrative in the US − where the GENIUS Act stablecoin regulation was signed into law in July 2025 − has sparked an inflection point. That shift may have less to do with the legislative detail than with what clarity enables institutions to do. In the boardrooms of financial institutions, regulatory clarity helps to ease speculation about what any new regulation might look like. This is why there are still some concerns about the UK's regime, for instance, with a full regulatory framework not having been confirmed.

labs. For many large financial institutions, engagement was relatively cautious, siloed and intentionally restricted.

The situation is very different today. It isn't just the sentiment around digital assets that has changed − it is also the ownership. In terms of institutional priorities, digital assets have moved on from simple product experiments to enterprise-level governance, dominating board-level discussions about operational resilience, compliance, safeguarding and counterparty risk. INSTITUTIONS NO LONGER ‘EXPERIMENTING’ BCB Group and Aon work closely with financial institutions and regulators and have observed this trend first-hand. In the last few years, global banks, asset managers and insurers have begun to integrate digital assets into their core operations, not necessarily because of a surge in enthusiasm but out of necessity. Rupert Poland, Head of Digital Assets EMEA at Aon, and James Sullivan, Chief Risk and Compliance

THE TRANSFER OF OWNERSHIP

Rupert Poland Head of Digital Assets EMEA Aon

Aon has significant relationships with many of the world’s largest financial institutions and has been having conversations about digital asset risk for years – but often at the product team level. Increasingly, its Group Risk functions and CRO teams are treating digital assets as top-tier risk priorities, often at the same level as artificial intelligence. When Group Risk teams and CROs took ownership, digital assets were elevated from a pilot project to a governance process.

COVER STORY • AON PARTNERSHIP

3 Softening supervisory stance Sullivan also argues that the recent reassessment of the Basel Committee's proposed prudential rules for banks' crypto exposures indicates the regulatory attitude towards banks' engagement with digital assets is softening, bolstering institutional NARRATIVE IN THE UK Both Aon and BCB Group are optimistic about the regulatory environment in the UK, although they urge the country to accelerate its rollout to catch up with the EU and US. "The narrative should shift from one of consumer protection versus growth to one of enabling innovation through stringent, clear regulation,” says Sullivan. interest in this sector. CHANGING THE

CROSS-BORDER PAYMENTS ARE A CORE INTEREST The inability to provide cross-border payments quickly, affordably and at scale was a major operational burden. After BCB's instant settlement network was introduced in 2020, institutions that handled large numbers of high-volume transactions were no longer reliant on legacy infrastructure that was built purely for fiat and didn't cater to the 24/7 demands of the modern economy. Those efficiencies have changed not just how money moves, but how risk is assessed. THE DUE DILIGENCE SHIFT The industry is having more "mature risk conversations", Poland adds, as insurers focus on and quantify risk. For example, consider what happens when there are one or two rogue actors − what is the overall impact to a business and its clients? There has been a notable shift in the granularity of conversations. What were once generic cyber discussions have now become much deeper conversations about precise loss scenarios, lateral movements and detection speed. Poland says this isn't about using an "off-the-shelf" policy; it's about quantifying specific risks. For example, how quickly can a business detect

governance are embedded into operations and regularly reviewed as transaction volumes change and the market evolves. Sullivan points to three key factors that have had the biggest material impact on the institutional perception of digital assets: 1 Stablecoin regulation New bespoke regulatory frameworks − including the EU's MiCA rollout, the GENIUS Act in the US and the UK's proposed sterling-denominated systemic stablecoins − have been major catalysts for improving both institutional perception of and participation in digital assets. 2 Custody and safeguarding clarity Sullivan says the industry has witnessed a number of high-profile failures in the past. This is why an emphasis on robust client asset safeguarding is now paramount, and BCB Group welcomes moves by regulators such as the FCA to align new rules for payment institutions with its rigorous Client Assets Sourcebook framework to significantly raise the bar for client protection. For Sullivan, this shift is about more than compliance: robust safeguarding is now the minimum expectation for building institutional trust and is no longer a competitive differentiator.

Act, which is still being finalised, and similar proposals, rather than copying them wholesale. The Clarity Act will not take effect until January at the earliest, which means the UK won't be that far behind, unless there are unforeseen delays.

These developments represent a rapid transition towards regulatory certainty, which institutions are demanding in order to fully engage with this sector. MOVING FROM SILOES TO EMBEDDED

RISK MANAGEMENT Both firms expect large traditional financial institutions to move from a siloed, experimental approach to one that fully integrates digital asset risk and compliance into core, group-level governance structures. Sullivan says this

The FCA should be able to fix a number of known holes in both MiCA and the GENIUS Act.

transition is forcing institutions to apply long-established

WHAT DOES A GOOD UK REGIME LOOK LIKE?

Poland says if the UK can design a regime that provides clarity and high standards, avoids some of the unintended consequences seen elsewhere, and is genuinely competitive on a global level, it can position itself as a leader. "We already have a lot going for us: talent, legal infrastructure, and a sophisticated insurance and capital markets ecosystem,” he notes. He believes that with the right regulation, the UK could become a “real powerhouse”, bolstered by the wisdom of seeing what other regulators have tried, where they've stumbled and how to correct the mistakes while taking the successes. "The FCA should be able to fix a number of known holes in both MiCA and the GENIUS Act," he adds. In regulation, being second can be an advantage, but only if you move fast enough. These questions are set to dominate industry discussions in London in 2026, as institutions, regulators and insurers assess how quickly the UK can turn regulatory ambitions into a successful new regime. These are the kinds of questions BCB Group's and Aon's BLINC Live! event is designed to tackle in February.

governance principles to digital assets, rather than creating new frameworks from scratch. However, he says this adjustment can only be achieved with four key actions: 1. Demanding proof of foundational safeguarding and risk management 2. Enforcing strict segregation of client assets 3. Establishing tier-one counterparty relationships 4. Adopting 'best-of-both' regulatory compliance For digital asset providers, insurance is also becoming a commercial passport rather than a one-off purchase, as financial institutions, particularly those with tier-one status, demand it to satisfy their due diligence requirements. “Insurance is increasingly being used as a governance tool that exposes weak controls long before a crisis does,” Poland says − although “it is a tool in a set of many”, he adds. DEBUNKING MYTHS AROUND INSURANCE CAPITAL There is a longstanding misconception that the digital

But the UK will “miss a trick” without clear rules - which the

FCA have announced will be in place by the end of 2027, says Poland. He believes there is certainly a window to put the UK on the map, but it won't stay open indefinitely. The FCA has just released a swathe of consultation papers on crypto − and Poland believes this is a big opportunity. "The FCA has been engaging actively with industry, and if they get this right, it’s a real chance for the UK to build on MiCA and to learn from the US Clarity

and contain the breach of an endpoint or collusion between one or more insiders?

"We’ve spoken to digital asset firms who were initially slightly dismissive of the risks they face, and then a year or two later they experience a major incident that hits the press,” he says. This is one of the reasons why so many financial institutions were hesitant to engage with digital asset providers until recently. Now, however, the best-run digital asset firms take a structured approach to identifying and quantifying their risks – and proactively decide which risks to prioritise for mitigation and/or transfer. BCB Group treats risk as a core operating discipline, not a reactive compliance exercise. This means resilience, safeguarding and

asset sector doesn't have enough insurance capital. Poland disagrees, arguing that it’s insurers’ understanding of the broader digital asset market, and their risk appetite, rather than raw capital, that’s currently constraining supply. "Some jurisdictions have already allowed insurers to use digital assets as capital", he added. This is often because the regulators of those jurisdictions have more time and capacity to engage directly with individual firms and move more nimbly to address risks. Using digital assets as insurance reserves can reduce asset liability mismatches when a liability and

COVER STORY • AON PARTNERSHIP

exposure is linked to crypto. However, this becomes more

(CASPs) as financial institutions and regulators increasingly scrutinise governance and risk culture. "Strong, systemic gender equality policies signal maturity, integrity and resilience," Sullivan says. "They also help prevent groupthink, strengthen decision-making and help CASPs align with the regulatory expectations of regimes such as MiCA,” he adds. Both firms agree on the commercial imperative to build sustainable businesses and long- term trust with clients, and gender quality is a key element in making that happen. BUT THERE ARE CAVEATS Sullivan says the UK's PRA is unlikely to permit the use of non-stable digital assets as primary insurance capital in the near term. The priority, at least for now, is policyholder protection and establishing resilience under the current solvency regimes. If the UK does not permit the use of non-stable digital assets as primary insurance capital, this could be detrimental to its ambitions to become a global digital assets hub. "The goal of becoming a hub is not just to house crypto exchanges, but to modernise financial market infrastructure using the underlying technology," says Sullivan. “The inability to tokenise insurance- linked securities or other forms of capital to improve efficiency and access to third-party funding would represent a ‘missing trick’ in the broader financial services overhaul.” As payments, custody and capital markets adopt digital assets, institutional engagement with this sector is now becoming the default option. However, the big question is whether governance, safeguarding and regulations will advance quickly enough to support this rapid adoption as the market matures. The winners in 2026 will be those that embed digital assets into their financial infrastructure and fully integrate risk into their group-level governance structures.

The industry's most important milestone from a legal and regulatory perspective will be the convergence of global tax reporting requirements and the operationalisation of new structural frameworks, according to James Sullivan, Chief Risk and Compliance Officer, BCB Group. Key milestones and unresolved questions for 2026 The Crypto-Asset Reporting Framework (CARF) deadline This will lift compliance standards across the OECD and set the global floor for institutional trust and transparency. "CARF is a G20-mandated, OECD-developed international standard for the automatic exchange of information in tax matters. This is a massive, multi- jurisdictional undertaking that demands a wholesale overhaul of compliance and reporting technology and processes." Structural operationalisation The industry will also need to prepare for the full operationalisation of MiCA and the UK's new systemic stablecoin regime. This will need to cover everything from capital structures and reserve management to segregation mechanisms. "They will need to be fully compliant with the explicit, often prescriptive, requirements of these new laws," Sullivan said. "The industry will need to focus on integrating the data requirements of CARF into systems that are already being fundamentally shaped to meet capital and custody compliance requirements for MiCA and the Bank of England."

complex when the value of reserves is not correlated to the exposure. "If you’re underwriting traditional USD-denominated risks – a hurricane loss in Jamaica, for example – holding Bitcoin as capital introduces a separate market risk that has nothing to do with the underlying catastrophe exposure, which needs to be considered fully" Poland says.

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Premiums are falling, and the digital asset sector is becoming more legitimised. This has made it easier for insurers to get sign-off and assess more options. Poland says this has reduced prices to what seems “fairer and more appropriate to the risk” − underpinned by regulation, the involvement of the big institutions, and the ongoing maturation of the digital asset ecosystem. "Another driver is the pure sales pitch. If you can earn a million with Bank A, then the insurance spend becomes less important,” he adds. For institutions, capital strength is only one part of governance Increasingly, regulators and counterparties are scrutinising culture and diversity. Aon and BCB Group are unanimous about the importance of making more progress on gender equality, especially as the digital asset market matures. This is now becoming a critical differentiator for crypto-asset service providers

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Please note that since this interview took place on the 20th of November 2025, the UK Government, HM Treasury, and the FCA have released proposals, statutory instruments, and consultation papers that may update or clarify the points discussed.

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25th February 2026