The All Party Parliamentary Group (APPG) for the UK Crypto and Digital Assets sector has opened an official inquiry into the country’s emerging crypto industry.
The party group is made up of MPs and Lords across the main political parties and is chaired by Dr. Lisa Cameron MP. The APPG acts as a forum for MPs, policymakers and the UK crypto sector to discuss policy and regulations regarding cryptocurrencies and digital assets.
The APPG outlined in its statement a summary of topics of interest they hope to address within Parliament, which includes further regulation measures of the UK crypto sector, and a callout for an input from interested stakeholders of the sector, as SNP MP Cameron states that the UK “must not take its foot off the gas when it comes to crypto”.
The inquiry aims to focus on policy issues surrounding the UK crypto and asset sector with the APPG looking to invite key figures (operators, regulators, industry experts) across the crypto sector to gain their input on the growing crypto market within the country.
With the first proposed crypto bill – falling under the UK Markets bill – proposed to Parliament two weeks ago, the APPG is seeking to address the current approach to crypto regulation as the UK plans to make the country a global hub for crypto investment.
“The UK Crypto sector has seen increased interest from consumers and regulators as the number of people who now own some form of cryptocurrency or digital asset has grown in recent years. We are at a crucial time for the sector as global policy makers are also now reviewing their approach to crypto and how it should be regulated,” stated Cameron.
“As part of its inquiry the APPG will investigate the state of the UK crypto sector and recent concerns raised around financial crime and advertising. It will consider the growth of crypto over recent years and the need for regulators and Government to keep pace with the rapid advancements in innovation and technology, as well as considering whether enough is being done in terms of consumer protection.
“The group will also look at international examples from other jurisdictions that have already taken steps to regulate the crypto sector.”
The APPG plans to discuss current approaches to crypto usage with key bodies such as the Bank of England, the Financial Conduct Authority, along with discussions on potential risks and economic crime measures.
CryptoUK, the UK’s independent trade association of the crypto sector and secretariat for the APPG, welcomed the launch of the inquiry.
Ian Taylor, Executive Director of CryptoUK, commented: “We welcome the announcement of the APPG inquiry and are pleased that policymakers are waking up to the huge potential for the UK in terms of economic growth, jobs and skills from a properly regulated crypto and digital asset sector.
“The Government has said it wants the UK to be the global home for crypto investment and the focus now must be on how the UK can deliver on this commitment.
“The UK crypto sector recognises the importance of a well regulated industry in the UK and supports regulation which provides business certainty and encourages a healthy and robust market. We want to see a proportionate approach to regulation that balances the need for consumer protection with the need to support innovation and growth.”
The deadline date for written submissions from interested parties to discuss the aforementioned topics is set for 5 September 2022.