New legislation on cryptocurrencies and stablecoins in the United Kingdom; Details

The United Kingdom has been pushing hard to implement new regulations related to stablecoins and cryptocurrency services in the coming months.

Economic Secretary Bim Afolami revealed at the Innovate Finance Global Summit on April 15 that the UK government plans to introduce specific legislation for stablecoins, in addition to staking, exchanges and custody of cryptocurrencies. The government’s expectation is that the new laws will be presented by June or July, according to information from Coindesk.

In his recent statement, Afolami highlighted the importance of the new laws for the cryptocurrency industry in the UK.

“We are now working at a good pace to deliver the legislation that will put into practice our final proposals for our regime,” said Afolami. “Once it goes live, a whole range of crypto asset activities, including operating an exchange, custody of customer assets and other things, will come within the regulatory perimeter for the first time.”

It is worth remembering that, in February, Afolami highlighted the United Kingdom’s plans to present new legislation in the next six months. According to Afolami, the government intends to “do these things as quickly as possible” in the next six months. The secretary reported that the United Kingdom government was “pushing hard” for the legislation to be passed. Afolami also emphasized that secondary legislation is a government priority.

In a significant move towards strengthening regulation of the cryptocurrency market, the United Kingdom announced the implementation of stricter rules against the illicit use of these assets.

From April 26, 2024, new legislation comes into force that allows authorities to freeze crypto assets associated with criminal activity, marking an important milestone in the fight against financial crime.

Disclaimer:

The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.