September 30, 2022

Ex-Chancellor: Crypto Could Give London an Advantage Over European Competitors

2 min read

According to the British political leader who acted as Chancellor of the Exchequer from 2016 to 2019– Philip Hammond– digital possessions could ease the post-Brexit monetary interruption, which the UK is going through. If London does not take the cryptocurrency market seriously, it runs the risk of being exceeded by its European rivals, he added.

‘We Need to Move Quickly And Effectively’

In a recent interview with City A.M., the former member of the Conservative Party– Philip Hammond– suggested that the UK ought to move its focus from Brexit to digital currencies. By doing so, the kingdom could secure its financial status since bitcoin, and the altcoins will become more and more utilized on a macroeconomic level:

“I personally think the momentum is now unstoppable. We require to move rapidly and effectively to secure London’s position.”

Hammond cautioned that neglecting the possession class is not sensible as numerous European countries have actually begun welcoming them. He included that some of those rivals view cryptocurrencies as a chance to surpass the UK as a world financial services center:

“If we don’t view carefully we will discover some surprising people are ahead of us.”

Mentioning “unexpected” countries with a friendly position on the cryptocurrency industry, the little British Overseas Territory of Gibraltar deserves discussing.

It has an extensive regulative framework, which has drawn in many business operating in the field. One of the examples is the Chinese crypto giant– Huobi– which just recently revealed intents to move its spot-trading operations to Gibraltar.

As for the guideline subject, Hammond regretted that the UK authorities neglected the cryptocurrency sector. He anticipated that blockchain innovation– the backbone of digital assets– would underpin a future trading system. As such, British watchdogs need to take the matter more seriously:

“Regulators have actually been heavily sidetracked. We require to move quite quickly to reveal that this innovation is acknowledged and accepted by lawmakers and regulators in the UK.”

Philip Hammond
Philip Hammond, Source: Wikipedia Bank of England Is Not a Crypto Fan The United Kingdom does not appear to provide the friendliest environment for cryptocurrencies since the nation’s reserve bank– the Bank of England– is a big critic.

In May this year, Andrew Bailey– the organization’s Governor– argued that bitcoin and the other digital currencies “have no intrinsic value,” and individuals who invest in them must be additional cautious.

Earlier this month, Jon Cunliffe – – Deputy Governor at the Bank of England– repeated the negative position stating that the volatility of the marketplace could begin to spill over into traditional financial markets.