UK financial watchdog to crypto industry: ‘Let’s work together’
The United Kingdom's financial regulator, the Financial Conduct Authority (FCA), wants to work together with crypto companies to develop a regulatory framework for the industry.
On April 25, FCA Executive Director Sarah Pritchard spoke at London’s City Week conference highlighting the need for cooperation on crypto regulations.
“We want industry’s input to make sure we get the future regulatory regime for crypto assets right,” she said.
She referred to crypto as a “one-time symbol of alternative rebellion,” but acknowledged that it has “become more widespread.”
“Effective early engagement supports regulations that benefit all and helps firms be prepared when regulations come into force,” she added.
In her speech at #CityWeek2023, Sarah Pritchard spoke about the regulation of #cryptocurrency and how effective early engagement can support regulation that benefits all. https://t.co/w6Zv6K5FP1
Pritchard mentioned a warning issued by the FCA to crypto investors a week before the FTX collapse in early November but added “we have always been open to innovation,” and stated:
The move is in stark contrast to the approach across the pond in the United States. Those in the crypto industry in America claim local financial regulators are making every effort to quash the crypto sector with enforcement actions as opposed to developing meaningful regulations in collaboration with industry leaders.
Pritchard noted the FCA’s responsibilities are limited to making sure that crypto firms that operate in the U.K. comply with anti-money laundering (AML) and counter-terrorism legislation.
“Only when the government legislates will we have more powers to regulate crypto,” she added.
Related: UK’s FCA hints at why it’s only given 15% of crypto firms
Read more on cointelegraph.com
