London: 1 February, 2023 – CryptoUK, the trusted voice of the UK crypto industry, has welcomed His Majesty’s Treasury’s (HMT) long-awaited Future Financial Services Regulatory Regime for Cryptoassets consultation paper and its policy statement which includes a proposed “bespoke exemption” for cryptoasset businesses promoting financial products.
After receiving feedback from stakeholders, the Treasury acknowledged in the policy statement that the proposals could amount to an “effective ban” on cryptoasset financial promotions. As a result, HMT has proposed an exemption from the financial promotion restrictions set out in section 21 of Financial Services and Markets Authority Act 2000 for certain financial promotions relating to qualifying cryptoasset businesses.
Ian Taylor, CryptoUK’s Board Advisor, said: “We are pleased that the Government has acknowledged these proposals would have been a de facto ban on promoting crypto in the UK. This proposed exemption comes after a sustained programme of advocacy by CryptoUK and its members.
“This programme included giving evidence directly to the Treasury Select Committee, responding to initial consultations and engaging directly with policymakers and regulators to voice concerns and suggest alternatives which are now being considered. This is a huge step in the right direction.
“As the crypto industry trade body, our Regulation Working Group will be crafting a unified and detailed response to the consultation paper. We will continue to work with regulators, including HMT, the Financial Conduct Authority and the Advertising Standards Agency to ensure that the UK has robust yet fair standards for the promotion of digital assets.”
Damien Fletcher / Sarah Durrani
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