A legal director at British Law firm Reynolds Porter Chamberlain (RPC), Jeff Kaufmann, is of the opinion that before the UK successfully comes up a well-structured legal framework for the cryptocurrency market, it would take nothing less than two years. This he revealed to an RPC press release published recently.
Crypto Regulation Prediction in Britain
Speaking of the institution’s pedigree, RPC is a London-based corporate and insurance firm with offices in Bristol, Singapore and Hong Kong with a human resources capacity of 720 employees which includes over 80 partners and 330 other lawyers. Notably, the firm has metamorphosed into several names since 2014.
The rationale behind the Jeff Kaufmann’s prediction is not from a pessimist point of view; it is only reasonable since that the proposals in a recent House of Commons Treasury Committee (HM Treasury) report begin to move forward. He also noted that the with the look of things, to achieve a minor change in the regulatory framework might take nothing less than two years
According to the legal expert, the saying that new regulations might be introduced directly or indirectly implies the increased involvement of the country’s financial regulators, FCA (Financial Conduct Authority). He is also perturbed as to the fact that the question of expertise of the financial watchdog is not certain which makes him skeptical about the agency’s capability to regulate the crypto industry successfully.
According to Jeff Kaufmann, the regulation of virtual currency in the UK is “going to be a difficult and lengthy process,” but it is certainly not unachievable as he noted that the major challenge is striking balance “between protecting retail participants and allowing the U.K.’s cryptocurrency market to thrive.” He further stated that;
“The race to establish a workable and regulated regime for cryptocurrencies is surely worth winning as their usage becomes more widespread across Europe and globally. The creation of a cryptocurrency trading hub may also have positive knock-on effects for businesses serving these markets, such as brokers, investment banks, and custodians as well as a potential increase in tax revenues for authorities.”
Also, in September, the Treasury Committee of the House of Commons called for a resolution on certain issues surrounding digital currency including listing price volatility, the risk of hacker attacks, poor consumer and money laundering. The Treasury Committee of the House of Commons further enabled to appropriately monitor the issuers of digital assets, crypto exchange and other aspects of the cryptocurrency sector.