British policymakers are currently working to ensure that blockchain technology can be safely integrated into the UK financial system without disrupting existing systems. In a speech delivered in April, a representative of the national treasury announced that the government is looking into ways to legalize the trading of cryptocurrencies. The government has also stated its belief that the United Kingdom should serve as a global leader in the crypto industry.
According to recent statements made by MP Matt Hancock
To encourage investment in digital assets like cryptocurrencies and NFTs, Member of Parliament Matt Hancock has argued that taxes should be lowered. It needs to be done to secure the sector’s continued expansion within the UK economy.
If the nation is serious about competing in the emerging digital global economy, it must allow the tech industry to flourish on its own soil. Some conservative politicians, however, are resistant to change and are unwilling to see cryptocurrencies as viable alternatives to the current fiat currency system. The U.S. Securities and Exchange Commission (SEC) has also voiced its opinion that these assets should be considered securities.
However, lawmakers with a more long-term and optimistic view of the economy may come to see the many ways in which cryptocurrencies might improve the monetary system and provide people more freedom of choice. Since the UK economy is likewise not doing particularly well, the country needs to plan forward now.
How much of a priority should crypto be on a national level?
Many nations are currently researching CBDC, and some in South America and the Southeast Asian region plan to implement their versions in the near future. There has been discussion at the national level regarding adopting cryptocurrency. To sidestep international restrictions, Iran, for one, is already using cryptocurrency to pay for some of its imports.
It is crucial for any nation to keep up with the times, as more and more people around the world are turning to crypto assets as a means of protecting their savings from the effects of inflation.