UK Election Unlikely to Disrupt Crypto Regulation Progress, Say Industry Experts
Industry experts assert that the upcoming UK election will have little or no impact on crypto regulations.
In an interview with Coindesk, some industry experts claimed that the upcoming election in the United Kingdom will not change the trajectory of crypto regulation. The assertion is based on the precedent that the incumbent five-year term of the governing Conservative Party, which has been in power since May 2010, allowed cryptocurrencies to gain impetus in the country.
“Regulating Crypto Will Improve Bid In UK Election”
One such expert is Adam Jackson, the policy director at Innovate Finance. They stressed the country’s need for secondary legislation to regulate crypto, including stablecoins, as the government proposed. Jackson added, “We haven’t heard otherwise about why that’s not feasible. So all things being equal, they should have those powers by the time of the national election.”
In 2022, the party presented a market bill allowing FCA to manage crypto like a financial activity.
The Conservatives have announced that stablecoins and staking will be the focus of their next bill before the end of the next parliamentary term, with some seeing this as a realistic target.
Laura Navaratnam, the UK policy lead at the Crypto Council for Innovation, stated that the government and financial regulators, such as the Bank of England and the FCA, are making progress, as evidenced by recent consultation papers on stablecoins.
Nonetheless, she alluded to the political instability as a possible setback for this endeavor.
As the UK election date draws nearer, the Conservative Party faces the difficult task of beating Labour, which is currently in the lead. A recent Ipsos poll from April showed that the number of Labour supporters had reached 44% against 19% of the Conservatives.
The most recent local elections were a telling sign of the reforms that Labour has introduced, more so in contrast to the loss of seats suffered by the Conservatives when compared to the Liberal Democrats.
Labour’s Crypto Plans
In this matter, Jackson stated, “For any party, the smaller the majority, the more they will be constrained in what they do in some of these areas.”
Labor plans to turn the UK into a securities tokenization center by forming digital versions of natural assets through securitization. CryptoUK commended Labour`s desire to implement this perspective.
Nevertheless, Labour announced its position on central banking. Jackson posed a critical question: “What will Labor’s strategy be on the matter? It’s a query they can’t avoid. ”
The Labour’s report revealed this was only a “first stage in which an outline of Labour’s vision for the UK’s financial services of the future would be made.” Additionally, Jackson added that it will be a stable approach to “things going in a logical sequence.”
In the same vein, Arkham alleged that the UK is one of the most prominent players in the crypto space and holds a substantial amount of cryptocurrencies.
