blockchainreporter
  • News
    • Altcoins
    • Bitcoin
    • Blockchain
    • Ethereum
    • Adoption
    • NFT
    • DeFi
    • Metaverse
  • Education
  • Glossary
  • Advertise
No Result
View All Result
BET NOW
blockchainreporter
  • News
    • Altcoins
    • Bitcoin
    • Blockchain
    • Ethereum
    • Adoption
    • NFT
    • DeFi
    • Metaverse
  • Education
  • Glossary
  • Advertise
No Result
View All Result
blockchainreporter
BET NOW
No Result
View All Result
Bitcoin
BTC
1d:
7d:
Ethereum
ETH
1d:
7d:
Polkadot
DOT
1d:
7d:
Solana
SOL
1d:
7d:
Ripple
XRP
1d:
7d:
Shiba INU
SHIB
1d:
7d:

UK Watchdog FCA Investigating Crypto Assets

Max Clark by Max Clark
January 25, 2019 - 2:00 am
in blockchain news
0
UK parliament
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter
  • The UK Financial Conduct Authority (FCA) has launched ‘consultation’ on crypto assets  
  • The consultation aims to help FCA in providing clarity to firms, investors, and consumers who want to invest in the crypto market
  • FCA thinks crypto asset tokens fall into authorised areas categories like specified investments  

The Financial Conduct Authority or FCA launched the start of a consultation on crypto assets. The consultation period will end on April 5, 2019. This will include a view of a policy statement in the summer and possible legislation to follow. The consultation is intended to help the FCA in providing clarity to firms, investors, and consumers.

Ongoing investigations

Before this move, a report was published in October 2018. This report was created by the cryptoassets taskforce and is made up of the FCA , the Bank of England and HM Treasury. It mentions that crypto assets like bitcoin should come under the scope of the Financial Conduct Authority.

Back in December 2018, HM Treasury published a guide on the tax regime for crypto assets. Here, they made it clear that capital gains tax is still chargeable.

In a statement by the FCA’s executive director of strategy and competition, he commented the following:

“This is a small but growing market and we want both industry and consumers to be clear what is regulated, and what isn’t. This is vital if consumers are to know what protections they’ll benefit from and in ensuring we have a market functioning as it should.”

‘Here to stay’

FCA also published a statement along with the announcement. It mentioned that the regulator is at pains to point out the existing unregulated nature of the sector and lack of protections. However, by implication, they still see cryptocurrency as something that is here to stay .

According to the regulator, while the crypto sector is still small, it cannot be denied that there is an increasing number of consumers who are investing in crypto assets. They added:

“While crypto assets have the potential to bring benefits to markets, firms and consumers, there remains considerable risks to markets and consumers.”

Argument on How to Treat Crypto Assets

While there is an ongoing argument on whether crypto assets should be treated as securities like stocks or as ‘utility tokens’ that gives access to certain products, the FCA thinks crypto asset tokens fall into authorised areas. These areas include specified investments under the Regulated Activities Order, e-money under the E-Money Regulations and Payment Services Regulations, and financial instruments under the Markets in Financial Instruments Directive II.

Since there are no regulations in the cryptocurrency sector, those who are holding crypto assets will not be protected by the Financial Ombudsman Service or Financial Services Compensation Scheme.

Due to the lack of regulation in the crypto sphere, there has been an increasing amount of support in the fundraising by crypto startups in 2017. This became possible through the use of  initial coin offerings (ICOs). In fact, £4.8 billion was raised globally through ICOs. However, there are many fraud ICOs and many ICO projects have failed.

Tags: AdoptionEuropePoliticsUK
ShareTweet
Max Clark

Max Clark

Max Clark is a content writer specialising in the cryptocurrency space. He is very enthusiastic about altcoins, NFTs, and the Metaverse. Max is convinced that the network is capable of replacing the existing global monetary system and granting financial independence to billions of people all over the world. Max loves to go on adventures, play sports, and read books when he has free time outside of work. He has also worked in the financial industry before, so he knows how the world's banking system works and how to deal with clients in the tech and finance industries.

Recommended For You

Ankr Becomes a Pioneer RPC Provider for Horizen’s EON, an EVM-Compatible Smart Contracting Platform

by Mushu Butt
June 6, 2023 - 1:00 pm
0
photo

Ankr joins forces with Horizen as one of the first RPC service providers for EON, Horizen's groundbreaking EVM-compatible smart contracting platform.

Read more

SushiSwap Announces a Collaboration with ThunderCore to Innovate the Web3 Gaming Sector

by Umair Younas
June 6, 2023 - 11:15 am
0

The integration between SushiSwap and ThunderCore attempts to enable liquidity providers (LPs) to eagerly predict boosted APRs.

Read more

Power Browser Joins Forces with .bit to Redefine Web3 Through Decentralized Identity

by Shayan Chowdhury
June 6, 2023 - 8:45 am
0
power browser bit

Explore how Power Browser and .bit partner to transform Web3 through decentralized identity, enhancing user privacy, security, and control. 

Read more

METAVERTU Revolutionizes ChatGPT Integration with Free Access and Advanced Features

by Josh Fernandez
June 5, 2023 - 8:00 pm
0
metavertu chatgpt

Discover how METAVERTU revolutionizes ChatGPT integration, offering a superior, feature-rich AI experience free of charge.

Read more

Equilibria Finance Releases Latest Token Structure for Its Native Token

by Umair Younas
June 5, 2023 - 1:26 pm
0
Equilibria finance

The open allocation agenda thereof not just increases the versatility and functionality of Equlibria Finance but also promotes active participation.

Read more
Next Post
Filmio Attending Sundance to Scout Projects for its Blockchain-based Entertainment Platform

Filmio Attending Sundance to Scout Projects for its Blockchain-based Entertainment Platform

PARTNERS LIST

  • sp
  • Coingecko

PRESS RELEASE

BJaoVqYT

BinaryX and AiGC Labs Developing First AI-Powered Virtual Reality Game on the Metaverse

by Chainwire
June 7, 2023 - 4:06 am
0

Singapore, Singapore, June 7th, 2023, ChainwireBinaryX today announced their plans to expand into Virtual Reality (VR) and Artificial Intelligence Game...

CatalystiuGIbVuck

CoinMarketCap Web3 Conference “Catalyst” Early-Bird Registration Now Open

by Chainwire
June 6, 2023 - 4:48 pm
0

London, United Kingdom, June 6th, 2023, ChainwireCoinMarketCap’s flagship Web3 conference "Catalyst" has opened early-bird registration. The conference will take place...

blockchain wave conference

Blockchain Wave 2023

by Max Clark
June 6, 2023 - 2:47 pm
0

Blockchain Wave 2023: Join us in Antalya, Turkey for the biggest annual blockchain summit, featuring industry-leading speakers, and innovative startups.

photox

Coinbase and OpenSea Struggle to Keep up with HedgeUp (HDUP) Asset Backed NFT Platform

by Max Clark
June 6, 2023 - 12:29 pm
0

Explore HedgeUp's (HDUP) innovative asset-backed NFT platform that's reshaping digital assets and challenging leaders like Coinbase and Opensea.

n

BlockchainReporter is a trusted name in the cryptocurrency and blockchain technology news space, keeping its readers abreast of the latest and most significant trends in the industry.

Here at BlockchainReporter, our team of global writers is dedicated to providing price analysis on leading cryptocurrencies and covering the latest developments pertaining to bitcoin news, altcoins news, blockchain news, NFT news and cryptocurrency adoption news from around the world.

News

  • Altcoins
  • Bitcoin
  • Blockchain
  • Ethereum
  • Adoption
  • NFT
  • DeFi
  • Metaverse

Info

  • Education
  • Glossary
  • Market
  • Press Release

Company

  • About Us
  • Terms & Conditions
  • Advertise
  • Sitemap
  • Contact

@2022 – Blockchainreporter.net. All Right Reserved.

No Result
View All Result
  • News
    • Altcoins
    • Bitcoin
    • Blockchain
    • Ethereum
    • Adoption
    • NFT
    • DeFi
    • Metaverse
  • Education
  • Glossary
  • Advertise