A New Dawn for Crypto in the UK

June 30, 2023
Tweet category: Crypto

King Charles has signed into law a new bill that will regulate cryptocurrencies in the United Kingdom. The bill, which was passed by Parliament in April, establishes a new regulatory framework for crypto asset businesses and provides consumers with greater protection.

The bill defines crypto assets as "digital representations of value or contractual rights that are secured by cryptographic technology and can be transferred, stored or traded electronically." It also establishes a new Financial Conduct Authority (FCA) licensing regime for crypto asset businesses. Businesses that offer crypto asset services to consumers in the UK will need to be FCA-licensed in order to operate legally.

The bill also includes provisions to protect consumers from fraud and financial crime. For example, it requires crypto asset businesses to conduct customer due diligence and to comply with anti-money laundering regulations.

The bill is a significant step forward in the UK's approach to cryptocurrencies. It provides much-needed clarity and regulation for the crypto asset industry and will help to protect consumers.

Here are some of the key provisions of the new bill:

• Establishes a new regulatory framework for crypto asset businesses.
• Defines crypto assets as "digital representations of value or contractual rights that are secured by cryptographic technology and can be transferred, stored or traded electronically."
• Requires crypto asset businesses to be FCA-licensed in order to operate legally in the UK.
• Requires crypto asset businesses to conduct customer due diligence and to comply with anti-money laundering regulations.
• Provides consumers with greater protection from fraud and financial crime.

The new bill is expected to come into force in the coming months. It is a significant step forward in the UK's approach to cryptocurrencies and will help to regulate the industry and protect consumers.

The information is based on the author's own research and opinions. The information is not guaranteed to be accurate or up-to-date. The author is not a financial advisor and is not qualified to give financial advice.

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