The field of cryptocurrency is largely unregulated in many countries around the world. However, some UK crypto critics want the government to take a tougher stance on the market.
Crypto critics want tougher regulation
Members of Parliament (MPs) and crypto critics in the UK have called for stricter regulations on cryptocurrencies and non-fungible tokens (NFTs). This latest development comes as more football clubs and influencers are promoting cryptocurrency projects.
According to a recent report by iNews, MPs and activists are calling on the government to do more in regulating the crypto space over the coming months. Members of Parliament want the government to capture cryptocurrencies and NFTs in the upcoming comprehensive gambling review.
The report added that the Financial Conduct Authority (FCA), the UK’s main financial regulator, is keen to gain additional powers to investigate the sector.
Conservative Representative Richard Holden stated that “It’s the Wild West, this gray area between highly leveraged financial investments on the one hand and these products that can easily and logically be considered gambling. There must be a clear differentiation in order to protect the people.”
The UK Treasury is currently preparing its response to the advice that expired in 2020 on how best to regulate the cryptocurrency market: “We are taking action to protect consumers in response to the development of certain cryptocurrency groups. This includes consulting on proposals to ensure that crypto-asset offerings are fair, clear, and not misleading, and that crypto assets meet the same high standards expected of other payment methods.”
Bank of England wants global regulatory talks on crypto
The desire to regulate cryptocurrencies in the UK comes as no surprise, as the country’s financial entities have been calling for the move for some time now. Last month, the Bank of England (BoE) said it plans to speed up talks between global financial regulators in an effort to find ways to monitor and regulate cryptocurrencies.
UK regulators also imposed restrictions on Binance last year after the crypto exchange was accused of operating without proper licenses.