December 6, 2022
According to reports, the U.K. Treasury is nearing completion of a framework for regulating the cryptocurrency industry.
This includes restrictions on international businesses selling to the UK, strategies for dealing with business failures, and product advertising regulations.
After the implosion of FTX injected new urgency into the government’s promise to impose order on finance’s “wild west,” ministers will soon launch a consultation on the new regulatory regime.
The package will give the Financial Conduct Authority broader regulatory powers, including the ability to monitor how firms operate and advertise their products.
This year, the Financial Conduct Authority (FCA) reportedly began monitoring the anti-money laundering procedures of UK-based crypto companies. However, its broader authority to protect consumers from various issues is limited.
According to people familiar with the Treasury, the new powers will allow the FCA to more thoroughly oversee the crypto industry, including inspecting how companies operate and advertise their products. They also stated that foreign sellers would be restricted from entering the UK market, and the proposals would outline how crypto firms could be shut down.
The sources for this piece include an article in Reuters.
