Government Set Out To Make the UK a global Crypto Asset Technology Hub

UK Crypto Hub Bitcoin UKI

Bob Coiney

April 5, 2022

The ripples of mass crypto adoption have been observed in various sectors of the world, and considering the chatter that has been emitted, more and more nations are joining the plight. The UK government also joins the crypto community by announcing moves in order to recognize stablecoins as a valid form of payment. 

These moves are simultaneously targeted at making Britain a global hub for the development of crypto asset technology and amassing investment. According to these rules, stablecoins will be brought within regulations while taking a series of measures such as legislating a ‘financial market infrastructure sandbox’ that will help firms innovate. 

The Initiative by UK Government 

The UK government has also organized an FCA led ‘CryptoSprint”, which will work with the Royal Mint on an NFT and create an engagement group to work closely with the crypto industry. These measures are being taken to ensure that UK financial services remain at the top of the trend while attracting investments, creating jobs and widening consumer choice. 

The chancellor of the Exchequer, Rishi Sunak, said, It’s my ambition to make the UK a global hub for crypto-asset technology, and the measures we’ve outlined today will help to ensure firms can invest, and innovate and scale up in this country.

We want to see the businesses of tomorrow – and the jobs they create – here in the UK, and by regulating effectively, we can give them the confidence they need to think and invest long-term.

This is part of our plan to ensure the UK financial services industry is always at the forefront of technology and innovation.

UK’s Plight for Stablecoins

Stablecoins are digital assets pegged to a fiat currency such as the dollar that makes its price maintained to a stable value. With the proper regulations, stablecoins can offer an efficient means of payment and widen consumer choice. The UK government will bring stablecoins as a form of payment method. 

The UK government aims to use this potential of stablecoin technology to ensure financial stability while promoting innovation within the country. John Glen, the Economic Secretary to the Treasury, also confirmed that the UK government would consult on more extensive regulation on the crypto sector later this year.