The UK’s financial regulator has selected Victoria McLoughlin as interim head of a new unit focussing on digital assets.
The City watchdog opened the search for someone to build a dedicated crypto unit in March amid surging levels of crime related to digital assets. The Financial Conduct Authority later revealed it would be hiring 80 people as part of a crackdown on companies which are not meeting regulatory standards.
“It’s an incredibly important time for the sector – and will be a real privilege to lead delivery of our supervisory strategy and our fantastic specialist teams in a new FCA Department as we shape the future of financial services and deliver good outcomes for consumers, markets and firms in coming months,” McLoughlin wrote yesterday in a social media post.
McLoughlin previously led the FCA’s supervision of Virtual Asset Service Providers and crypto asset firms for over two years, according to Linkedin. She shared that her role as interim lead will involve creating a “new regulatory regime to deliver UK Government’s vision for crypto whilst managing risks arising.”
The comment comes amid an apparent split between the approach of government and regulators towards crypto.
Earlier this month the UK’s Chancellor Rishi Sunak announced plans to transform the UK into a “global hub” for digital assets. However, many of the UK’s top crypto firms have struggled to meet the FCA’s regulatory requirements for anti-money laundering and know your customer checks.
The UK’s former health secretary Matt Hancock has called for a liberal approach to crypto regulation which would permit mass adoption in the UK.