Britain proposes regulation of all cryptoassets

Andrew Griffith, reappointed Thursday as the new British Prime Minister Rishi Sunak, introduced an amendment to the Financial Services and Markets Bill, which Parliament has begun to approve.

The bill as originally drafted gives the Financial Services Authority the power to regulate only stabelcoins, but the amendment expands the authority to cover promotions for all crypto-assets.

“This new clause amends the Financial Services and Markets Act of 2000 to clarify that the authority relating to financial promotion and regulated activities can be used to regulate cryptoassets and activities related to cryptoassets,” the amendment states in a Thursday parliamentary document.

The amendment proposed by the government means that it will almost certainly be passed into law.

It would put the U.K. on par with the European Union’s Crypto Asset Markets Act, which is currently being finalized and is seen as the world’s first comprehensive set of rules for regulating the burgeoning crypto sector.

Separately, Bank of England Deputy Governor Sam Woods said Thursday that the central bank is moving forward with a regulatory framework for systemic stablcoins. This will allow both non-banks and banks regulated by the Bank of England to innovate, and a public consultation document on the new regime will be published next year.