UK Moves Closer to Crypto Laws with Parliament’s Upper House Approval

UK Moves Closer to Crypto Laws with Parliament’s Upper House Approval

Time Stamp: June 19, 2023 5:32 PM
Source Node: 2140005

The United Kingdom
is getting closer to treating cryptocurrency as a regulated activity, with promotion
of digital assets closely monitored. On Monday, lawmakers from the Parliament’s
upper chamber, House of Lords, ratified the Financial Services and Markets Bill
(FSMB).

FSMB
outlines the UK’s economic strategy post-Brexit . The bill originally proposes
to regulate stablecoins under the payments industry. However, provisions to
deal with crypto as a regulated activity and to oversee crypto ads were added
in subsequent amendments.

The
approval means that the bill, which was sanctioned by the lower chamber House
of Commons in October last year, is now set for the final stages. This stage
includes a last reading by both chambers, with royal assent granted by King
Charles III once both chambers agree on final provisions.

As part of
efforts to regulate the cryptocurrency industry in the UK, His Majesty’s
Treasury recently consulted with the
public on
proposed regulations as part of steps to prepare draft provisions
on regulating the crypto
industry. The rules propose measures to offer UK consumers better protection
while allowing the crypto industry to grow within a regulated ecosystem.

In April,
Andrew Griffith, Economic Secretary to the UK Treasury told CNBC that
crypto-specific regulation could come into force in the next one year. He noted
that the country is seeking to position itself as a “global hub for crypto
asset technology.”

Eyes on the Crypto Industry

Meanwhile,
a group of lawmakers recently put forward 53
recommendations for crypto regulation. The All-Party Parliamentary Group (APPG) for
Crypto and Digital Assets Group also sought the appointment of a dedicated
official to oversee the regulatory process.

Finance Magnates
reported that pro-crypto lawmakers divided the recommendations into several
segments, including the country’s approach toward crypto regulations, the role
of the UK regulations, the central bank digital currencies, and risk in
consumer protection and economic crimes.

In a
related development, the UK Financial Conduct Authority is also making plans to enforce
news rules around
cryptocurrency marketing and advertisings from October 8. The Treasury
previously announced it was introducing a
time-limited exemption that will enable crypto firms authorized under the
FCA’s anti-money laundering regime to issue their promotional materials before
the new regulatory regime takes off.

TipRanks wins fintech award; ex-Scope Markets’ exec at Titan FX; read today’s news nuggets.

The United Kingdom
is getting closer to treating cryptocurrency as a regulated activity, with promotion
of digital assets closely monitored. On Monday, lawmakers from the Parliament’s
upper chamber, House of Lords, ratified the Financial Services and Markets Bill
(FSMB).

FSMB
outlines the UK’s economic strategy post-Brexit . The bill originally proposes
to regulate stablecoins under the payments industry. However, provisions to
deal with crypto as a regulated activity and to oversee crypto ads were added
in subsequent amendments.

The
approval means that the bill, which was sanctioned by the lower chamber House
of Commons in October last year, is now set for the final stages. This stage
includes a last reading by both chambers, with royal assent granted by King
Charles III once both chambers agree on final provisions.

As part of
efforts to regulate the cryptocurrency industry in the UK, His Majesty’s
Treasury recently consulted with the
public on
proposed regulations as part of steps to prepare draft provisions
on regulating the crypto
industry. The rules propose measures to offer UK consumers better protection
while allowing the crypto industry to grow within a regulated ecosystem.

In April,
Andrew Griffith, Economic Secretary to the UK Treasury told CNBC that
crypto-specific regulation could come into force in the next one year. He noted
that the country is seeking to position itself as a “global hub for crypto
asset technology.”

Eyes on the Crypto Industry

Meanwhile,
a group of lawmakers recently put forward 53
recommendations for crypto regulation. The All-Party Parliamentary Group (APPG) for
Crypto and Digital Assets Group also sought the appointment of a dedicated
official to oversee the regulatory process.

Finance Magnates
reported that pro-crypto lawmakers divided the recommendations into several
segments, including the country’s approach toward crypto regulations, the role
of the UK regulations, the central bank digital currencies, and risk in
consumer protection and economic crimes.

In a
related development, the UK Financial Conduct Authority is also making plans to enforce
news rules around
cryptocurrency marketing and advertisings from October 8. The Treasury
previously announced it was introducing a
time-limited exemption that will enable crypto firms authorized under the
FCA’s anti-money laundering regime to issue their promotional materials before
the new regulatory regime takes off.

TipRanks wins fintech award; ex-Scope Markets’ exec at Titan FX; read today’s news nuggets.

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