A New Global Hub for Crypto on the Rise?
Market Meditations | April 5, 2022
On Monday 4th April 2022 during the UK Fintech Week, the British Government announced plans to turn the UK into a global crypto technology hub. The first steps have been taken to make the United Kingdom an ally to crypto technologies and assets.
- Stablecoins will be brought into UK payment regulations as they aim to create conditions for stablecoin issuers and service providers to operate and invest.
- A Financial Market Infrastructure Sandbox (FMIS) will be developed by 2023. This will allow firms to explore the potential benefits crypto technology can provide.
- The Royal Mint has received orders to create an NFT that plans to be released by the summer.
- The UK’s Chancellor of the Exchequer Rishi Sunak is at the forefront of the push. He said in an official statement “it’s my ambition to make the UK a global hub for cryptoasset technology, and the measures we’ve outlined today will help to ensure firms can invest, innovate and scale up in this country.”
Other measures include: exploring ways to enhance the competitiveness of the UK tax system, a two day FCA led “CryptoSprint” with industry participants and the establishment of a ‘Cryptoasset Engagement Group’ to advise the government on issues facing the crypto sector.