As the UK seeks to position itself as a global hub for crypto-assets, the regulation and treatment of crypto trading has come under further scrutiny. Despite pressure from MPs to regulate crypto trading as gambling, on Thursday 20 July 2023, the British Government replied that this regulation would not address the underlying risks and would be incompatible with international regulation.
Ontier UK Partner Amy Harvey said the existing system of gambling regulation is
"Not fit for purpose, [because it fails to recognise the complexities of the market and the nature of digital asset]. Consumers can be protected without putting the entire sector under the gambling umbrella — progress is being made with the Financial Services and Markets Bill... but clearly further work needs to be done and the regulatory landscape has thus far been slow-moving, with the UK falling behind the EU."
Read the full story: Gov't Rejects Call By MPs To Treat Crypto Trades As Gambling
For all questions regarding the topics raised above, please contact Amy Harvey or a member of our team.