Regulation
UK minister warns of tougher crypto regulations, here’s all
In a gripping saga, one of Britain’s most renowned government officials, Bim Afolami, has taken a stand against the overregulation of cryptocurrency across the country’s digital asset landscape. Speaking at an event on Wednesday, May 8, the National Treasury Economic Secretary cracked down on crypto scrutiny, saying regulators should ensure the crypto industry is not undermined due to increased regulatory control.
Afolami’s statements amid the UK government’s tightening grip on crypto have garnered remarkable attention across the country. At an event hosted by the Financial Times, the official stressed that transparent regulation should not stifle the entrepreneurial spirit that drives technology efforts.
Is Bim Afolami unhappy with the UK crypto scene?
At the event, Afolami proclaimed, “This is the kind of thinking that has undermined our success in this industry,” illustrating a sense of dismay over current national crypto regulations. Despite successive conservative governments fueling the industry alongside fintech, the crypto sector remains under the microscope due to recently emerging risks.
Notably, the Treasury official earlier said that the country’s legal eagles were already too cautious and risked hindering innovation in the digital asset sector. “They are not inherently better if you set up an unnecessarily complicated system where no one can make money and no one can innovate,” Afolami added.
However, in light of recent threats to users exposed to this sector, the minister’s statements appear to have triggered a wave of discussion.
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UK FCA report says crypto poses highest risk
A recent report from CoinGape Media highlighted that the Financial Conduct Authority (FCA) highlighted the potential for exploitation in the cryptocurrency sector, particularly with regard to money laundering activities. This further requires a more careful approach to cryptography, contrary to Alofami’s statements.
Not long ago, the FCA excluded a risk assessment report covering 238 firms. Regarding this report, the regulator proclaimed that nationwide crypto companies pose the highest risk to users.
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