Crypto Regulations In UK-The introduction of cryptocurrency market regulations in the UK might take up to2 years. This is based on the suggestion of Jeff Kaufmann, Legal Director at British law firm Reynolds Porter Chamberlain (RPC) in a press release earlier this month.
Reynolds Porter Chamberlain
RPC is a prestigious law firm in the UK. And has been named “law firm of the year” three times in a row since 2014. It has offices in Bristol, Singapore and access to various other places in Asia with staff amounting to 720 people, including over 80 partners and 330 other lawyers.
Kaufmann said that even small changes in the current regulation take years to get updated. Since this involves cryptocurrency markets, he thinks that the regulation that currently requires an update. It will take at least 2 years if the HM treasury reports move forward now.
Crypto Regulations In UK-Kaufmann believes that these changed regulations will result in more involvement by the Financial Conduct Authority (FCA), but where the concern is in whether the FCA has the expertise to fund and regulate cryptocurrency markets.
He also thinks it may take so long because of the need to maintain the balance. Its between protecting retail participants and allowing the U.K.’s cryptocurrency market to thrive.
“The race to establish a workable and regulated regime for cryptocurrencies is surely worth winning as their usage becomes more widespread across Europe and globally. The creation of a cryptocurrency trading hub may also have positive knock-on effects for businesses serving these markets, such as brokers, investment banks, and custodians as well as a potential increase in tax revenues for authorities.”
HM Treasury has been concerned about issues such as:
- listing price volatility
- poor consumer protection
- the risk of hacker attacks
- money laundering
It has asked the FCA to contend with these concerns and resolve the issues. The FCA, however, is not currently in a position to do so for either digital or cryptocurrencies.