According to a recent news from a local news source,’Finance Feeds,’ Lord Taylor of Warwickisreportedto have beenasked “Her Majesty’s Govt. what assessmentthey made out of thereport thatthe worthof digital currencieswithin theU.S.is falling, and of the potential effects that such a declinemight haveonthe United Kingdomsblockchaintrade.”
The Minister of State at the Department for International Development ‘Lord Bates, ’,is claimedto have responded replying thatthe govt.is“monitoring developments”within thecrypto markets, butit has beennot able to makea properassessment of any potential implications of recent changeswithin theworth of digital currencies.”
Asa part ofhis response, Lord Batesis saidto havedrawn attention to the activities of the Cryptoassets Taskforce,thatwas launched in March by the Chancellor of thepecuniary resource.
The Taskforceincludes HM Treasury, the Bank ofEnglandalong with theFinancial Conduct Authority ‘FCA’, and is charged with assessingthe advantagesand risks of crypto,also includingthe utilizationof blockchain in new financial services. Theclusteris additionallyconsidering what, if any, regulation would beacceptablefor theecosystemand is reportedly set to publish a forthcoming report outlining its recommendations soon.
Finance Feedsadditionalynotes that JohnGlen who is the Economic Secretary ofHMTreasury, has recentlydeclaredthatwhilethe Bank ofEnglandisn’tholding formal discussions with the Chancellorregardingissuinga state-backed crypto currency,it’sneverthelessconductinganalysisto graspthe new potential implications.
Glen has reportedly alsostressedthatthe United Kingdom’sgovt. currently has no plans to recognise digital currencies asmedium of exchangenor to propose designating them asany financial asset.
Earlier this year, the FCA issuedparametersfor banks onthe ways tohandle the risks theirpurchaserscould face,oncemanagingcrypto assets,insistingaextremelypersonalisedapproach tailored tovariationsacross a spectrum of business relationships. The U.K, as Finance Feeds notes,doesn’tgenerallyregulate crypto,aside fromboundderivativeslikecrypto-based Contract ForDifferences‘CFDs’.