UK mulls crypto legislation in 1st parliamentary debate on crypto in 2023

UK lawmakers held a parliamentary debate on cryptocurrencies and regulation on 25 January, and while lawmakers were quick to point out gaps in current regulation, details about what the regulation might look like in practice were relatively few. It was less.

In the preface to the discussion It was published On the UK Parliament website, Chancellor of the Exchequer Jeremy Hunt has promised clarity on UK cryptocurrencies.

“My promise is to hold six roundtable meetings with the sector with participants from different sectors during 2023,” promised Griffiths. It adds that there is a need for “smarter and more balanced regulations to ensure that this technology can be used safely.”

His comments echo earlier statements made by the UK’s current prime minister, Rishi Sunak, who said he wants the UK to become a crypto powerhouse during his tenure as finance minister. .

“I am a strong believer in the need to embrace technology and innovation as a way to improve all lives and make things better, cheaper and faster,” said Sunak. Said.

Wednesday’s debate would be seen as a step in the right direction, but it will be interesting to see how the UK’s approach to cryptocurrency regulation deviates from what is being floated by those in Europe.

In January, Fabio Panetta, Executive Director of the European Central Bank (ECB), published a blog post. Said, “We cannot allow cryptocurrencies to remain unregulated.”

The topic of regulation has become a hot topic recently, especially following the collapse of centralized exchange FTX.

At the World Economic Forum in Davos last week, industry leaders such as Jeremy Allaire, CEO of USDC stablecoin issuer Circle, gathered to effectively call on policymakers in attendance for regulatory clarity.

“New definition […] It helps make it clearer which regulators are involved in which activities,” said Allaire. Said Reuters Global Market Forum panel on the sidelines of last week’s WEF.

As Britain looks to its own laws in the wake of Brexit, Griffiths promised “Definitely weeks, not months” to create clarifications and working policy documents on encryption rules.

Posted In: UK, Regulation

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