Finance Secretary wants UK to be a country of choice for crypto space

The UK wants to “become the country of choice for those looking to create, innovate and build in the crypto space,” according to Chancellor of the Exchequer Richard Fuller.

Fuller also stated in the first crypto debate in Westminster earlier this week that “as crypto technologies grow in importance”, the new government formed by Liz Truss is “seeking ways to achieve global competitive advantage for the UK”.

“The UK can either be a bystander as this technology transforms aspects of life, or we can become the best place in the world to start and scale crypto technologies,” he said. “We want the UK to be the dominant global hub for crypto technologies and will therefore build on the strengths of our thriving fintech sector, create new jobs, develop ground-breaking new products and services.”

Fuller, who was appointed the new economic secretary to the Treasury in July after John Glen resigned and retained his post in the new cabinet, also said the new government is committed to the Financial Services and Markets Bill – the recently introduced legislation which proposes major changes in the regulation of British financial services, including the establishment of a regulatory framework for stable coins.

According to the finance minister, the bill would expand the existing regulations by adding an ability to “leverage” the benefits of stablecoins to lower costs and improve services.

“At the same time, we want to protect consumers by ensuring that the face value of stablecoins is supported by the underlying funds and that consumer funds will be safeguarded if a stablecoin provider becomes insolvent,” Fuller added.

UK attracts crypto investment

Meanwhile, Alexander Stafford, an MP for Rother Valley, said that “The UK is already world-renowned as the beating heart of finance, banking and markets, so it’s only natural that crypto similarly sees the UK as its home.”

“Britain should welcome the investment and opportunities in crypto,” Stafford said, adding that Truss, who was sworn in on Tuesday after Boris Johnson stepped down, had already “reaffirmed” her commitment to this fast-growing sector.

“Crypto really is an opportunity for everyone, from Truro to Thurcroft and the Rother Valley, and right up to Scotland and Northern Ireland. If we first fix the issues of education and regulation, I think we will have a thriving industry here in the UK,” said Stafford.

Fuller agreed, adding that “by making this country a hospitable place for cryptotechnologies, we can attract investment, generate new jobs, benefit from tax revenue, create a wave of cutting-edge new products and services, and bridge the the current position of UK financial services. into a new era.”

Are there enough reasons to be happy about Britain’s ambitious targets? Some experts think so, despite potential pitfalls along the way.

“The UK has been one of the centers of world banking for hundreds of years. There is no reason why it cannot be a dominant global hub for crypto technologies with a sensible and forward-looking framework, said Bradley Duke, CEO of the London-based ETC Group. Decrypt.

However, he cautioned about the areas “where there is crossover between crypto and traditional finance.”

“These are the areas that need to be navigated most carefully given the large amount of existing financial services regulation in Europe,” Duke added.

Earlier this year, the UK’s central bank published a financial stability report, pointing to the sharp fall in cryptocurrencies following the massive sell-off in May and June.

Although the extinction “did not pose a risk to financial stability overall”, the Bank of England said tougher laws are needed to protect the wider financial system in the future.