Treasury Committee looks into Bitcoin regulation in UK. The chair of the Committee, Nicky Morgan, has stated that the scrutiny will mostly assess “the potential risks that digital currencies could generate for consumers, businesses, and governments, including those relating to volatility, money laundering, and cyber-crime.”
23 February, AtoZForex – It appears that the UK is on its way to potentially establishing a regulatory framework for the cryptocurrency market. The UK authorities have stated that they are presently in the process of investigating Bitcoin and the underlying technology behind it. The key aim of the scrutiny is to identify the potential risks to central banking and other traditional financial institutions.
Treasury Committee Looks Into Bitcoin Regulation in UK
In addition, the UK investigators will evaluate the necessity of cryptocurrency market regulations. The House of Commons Treasury Committee is now conducting an investigation into cryptocurrency and Blockchain.
The chair of the Committee, Nicky Morgan, has reportedly stated that the scrutiny will mostly assess “the potential risks that digital currencies could generate for consumers, businesses, and governments, including those relating to volatility, money laundering, and cyber-crime.” She also added that the UK officials will study “to what extent they could disrupt the economy and replace traditional means of payment.”
Moreover, the committee is also looking into assessing whether or not the Bank of England and the Financial Conduct Authority should impose regulations on cryptocurrencies.
What do experts think about possible UK cryptocurrency regulations?
Some of the traditional market insiders have been signaling a positive stance in regards to the cryptocurrency regulation idea. One of the Bitcoin experts, Odysseas Sclavounis, has been quoted by one of the online reports as stating:
“A good regulatory framework is always welcome and this will provide clarity on tax as well as consumer protection.”
Some other experts and investors have also been pleased with the initiative from the UK Treasury to look into the regulation of the cryptocurrency market. Some of them stated that the right regulation will contribute to integrating their solutions to the mainstream financial system.
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