KR1, a British blockchain investment firm, is considering moving from the Aquis Stock Exchange (AQUIS) to the London Stock Exchange (LSE) Main Market. A move like this may mark a milestone for cryptocurrency firms seeking acceptance in traditional finance. KR1’s up-listing will need regulatory approval from the FCA and shareholder approval, however, and would make KR1 the first pure-play Digital Asset Company listed on the LSE’s main market.
KR1, a company founded in 2014, is based on the Isle of Man and has built its identity through early-stage blockchain investments and income from staking networks such as Ethereum and Polkadot. To date, the company has made over 100 investments in digital assets and has announced its intention to grow its staking business through a new share placement program after the listing.
With a market value of about £56 million, KR1 sets itself apart from previous listings by focusing on blockchain infrastructure and staking rather than simply holding traditional cryptocurrencies. The firm’s investment strategy spans established networks and emerging projects, and one new project that could be in its sights soon is the community-driven token $MAXI that is building new social experiences on-chain.
Co-founder Keld Van Schreven told the Financial Times that the push for Main Market represents “a starter gun for this new asset class on the LSE” and could encourage more blockchain companies to follow suit. The firm is doubling down on staking as institutional demand for blockchain validation services continues to grow.
This action demonstrates a broader move in the United Kingdom toward proactive cryptocurrency regulation. Previously cautious, it is now actively working to become an attractive location for digital assets. The Financial Conduct Authority (FCA) has just lifted a four-year ban on the issuance of crypto-based Exchange Traded Notes (ETNs), allowing asset managers to list them on the London Stock Exchange (LSE). This change should increase domestic crypto activity by approximately 20%, according to IG Group market analysts.
In addition, the FCA has significantly improved the speed of its review process for the registration of crypto firms. Five companies (including BlackRock and Standard Chartered) have been registered under the FCA’s Anti-Money Laundering (AML) regime since April, bringing the FCA’s approval rate for registering crypto firms to 45%, up from below 15% previously. The FCA said it wants to ensure that the United Kingdom’s digital asset framework meets international standards as it prepares to launch a comprehensive regulatory framework for digital assets in 2025.
Not all measures have been welcomed, however. The Bank of England is advancing plans to regulate stablecoins, proposing temporary limits on holdings of systemic tokens used for payments. These would be capped at £10,000-£20,000 for individuals and £10 million for businesses. Critics, including Coinbase’s Tom Duff Gordon, argue the caps could disadvantage UK investors compared to other major jurisdictions that have avoided similar restrictions.
Tax authorities have increased their level of scrutiny. HMRC (Her Majesty’s Revenue & Customs) is issuing an additional 65,000 nudge letters to suspected cryptocurrency investors who are believed to be failing to declare taxable income generated by cryptocurrencies. The number of these letters being issued by HMRC has risen by 134% this year. HMRC’s ability to monitor and collect taxes will be further enhanced when it receives its new powers under the international framework for reporting on cryptocurrency transactions, which takes effect globally in January 2026. This framework will enable HMRC to obtain detailed information on all cryptocurrency transactions.
Despite tighter compliance measures, Britain’s crypto market remains one of the most active globally. The UK currently ranks 11th in the Chainalysis Global Crypto Adoption Index and serves as Coinbase’s second-largest market after the United States. Policymakers are also seeking closer alignment with Washington through the newly created Transatlantic Taskforce for Markets of the Future, which will coordinate digital asset regulation and capital market innovation.
