In a bid to strengthen the regulatory environment for Bitcoin and other cryptocurrencies, the UK has unveiled a new fintech strategy for companies. The strategy will involve the UK setting up a new crypto asset task force, which will help businesses make use of the blockchain technology that is the basis of Bitcoin and other cryptocurrencies.
Speaking of the benefits, the UK Chancellor, Phillip Hammond said;
“A new task force will help the UK to manage the risks around crypto-assets, as well as a harnessing the potential benefits of the underlying technology.”
The task force is being formed from representatives from the Treasury, the Bank of England and the Financial Conduct Authority. Hammond believes that these new measures will position the UK at the heart of the fintech revolution. He said;
“I am committed to helping the sector grow and flourish, and our ambitious sector strategy sets out how we will ensure the UK remains at the cutting edge of the digital revolution.”
On top of this strategy, Hammond also revealed a bridge agreement that will allow UK fintech companies to access Australia’s 24 million people, which will open up a world of possibilities for UK fintech firms who are looking to expand into international waters.
The founder of fintech investor IW Capital, Luke Davis, spoke about this agreement, saying;
“The partnership with Australia, underpinned by the most advanced regulatory partnership that the FCA has ever signed, will connect the UK to a new market of 24 million people. Coming in the same weeks as the UK-China fintech alliance announcement, it is clear that the government is taking the views of the industry seriously.”
The London Stock Exchange released a report that stated the UK was one of the top three global markets for fintech companies, who are wishing to expand internationally. The head of primary markets, Robert Barnes said;
“The cross-border ambitions of innovative fintechs are transforming the global financial services sector. But in order to thrive, these innovators need access to long-term growth capital and a supportive global regulatory environment. The UK offers both.”
This new strategy follows the call for tighter regulations on cryptocurrencies and can be a really positive move for all cryptocurrencies, and in particular Bitcoin.
