[Re: Treasury prepares to unveil new UK rules for crypto industry, March 29]
Chancellor Rishi Sunak’s plans to regulate digital currencies should be welcomed throughout the ecosystem for four reasons.
First, we believe regulation is reassuring for many customers. Reassurance should encourage further adoption and competition by democratising access to complex products and lowering barriers for consumers to enter the sector.
Second, greater adoption could mean a larger addressable market for blockchain companies, creating new opportunities for innovation. The winners should be financial institutions facilitating the transition from traditional to digital currencies and decentralised payment architectures.
Third, greater regulation could turbo-charge investment into the sector benefiting the UK digital currency industry leading to further innovation and development of sophisticated products.
Finally, we believe the UK has a late-mover advantage and is in a strong position to learn from policy development in the US and EU to provide a robust framework that encourages entrepreneurialism.
Digital currency regulation is something that should be embraced, not met with apprehension.