Despite Rishi Sunak, the new prime minister, who has expressed support for cryptocurrencies. The regulatory framework that is under development seems to tighten up business oversight.
The legal changes will undoubtedly limit the activities of foreign firms in the UK while enhancing the power of the financial regulator.
Per The Financial Times, the UK’s regulatory structure is still developing due to the FTX crash. The FCA can keep an eye on how the nation’s crypto businesses operate and advertise. Foreign businesses in the UK will apply limitations on the sale of Bitcoin If regulations accept rules by Treasury.
Although the report did not go into greater detail on those restrictions. It is feasible that they will put in place to compel the companies to register with the FCA. Since 85% of the applicants failed the FCA’s anti-money laundering (AML) exams. FCA Chief Executive Nikhil Rathi claims that the procedure is complex enough.
However, on December 7, a bipartisan Treasury Committee will hear from FCA and Bank of England experts about the risks of cryptocurrencies. The “pros & cons” of Central Bank Digital Currency.
Also speaking at the session will be the investigative journalist. Who looked into the investments made by British football fans influenced by BTC ads?
In addition, the election of Rishi Sunak as Prime Minister in October was seen as a fresh opportunity to establish practical legal frameworks and push the UK as a leading international hub for cryptocurrencies.
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The new regulatory framework will soon be the subject of a consultation with ministers. On Wednesday, the panel will hear testimony regarding the harm crypto tokens promoted by well-known football players and clubs have caused football fans.