UK Parliament launches inquiry into cryptocurrency sector
The All Party Parliamentary Group (APPG) for the UK Crypto and Digital Assets sector has launched an inquiry into the UK’s cryptocurrency and digital assets sector.
The cross-party group is investigating the need for heightened regulation of the market and is inviting feedback from interest stakeholders across the industry, inlcuding crypto operators, regulators, industry experts and Government.
The terms of the inquiry are lengthy, assessing the role of Government and regulators, consumer protection issues and the use of central bank digital currencies.
The launch of the inquiry follows the establishment of two legal taskforces to examine the legislative changes required to support the issuance and transfer of digital securities on blockchain and DLT systems and on the issuance and transfer of digital securities under English private law.
The inquiry and taskforces have the aim of pushing provisional law reform proposals to ensure recognition and protection of digital assets.
Dr Lisa Cameron MP, chair of the APPG, said: “We are at a crucial time for the sector as global policy makers are also now reviewing their approach to crypto and how it should be regulated. It’s vital that the UK does not take its foot off the gas and that Government and regulators keep to their commitments when it comes to crypto and digital assets.”
Ian Taylor, executive director of CryptoUK, added: “We welcome the announcement of the APPG inquiry and are pleased that policymakers are waking up to the huge potential for the UK in terms of economic growth, jobs and skills from a properly regulated crypto and digital asset sector.
“The Government has said it wants the UK to be the global home for crypto investment and the focus now must be on how the UK can deliver on this commitment.
“The UK crypto sector recognises the importance of a well regulated industry in the UK and supports regulation which provides business certainty and encourages a healthy and robust market. We want to see a proportionate approach to regulation that balances the need for consumer protection with the need to support innovation and growth.”