The UK Ministry of Finance intends to strengthen supervision of cryptocurrency promotion to protect investors

The UK Treasury (HM Treasury) issued a proposal to strengthen the supervision of the promotion of cryptocurrencies. The deadline for consultation is October 26, 2020. The UK Treasury Department stated that it hopes to strengthen the supervision of the promotion of cryptocurrencies and ban some misleading promotion activities to protect investors. According to the proposal, the UK Financial Conduct Authority (FCA) will become an agency that supervises the promotion of digital assets. Any company wishing to approve financial promotions from an unauthorized company must first obtain FCA’s approval. In addition, the British government is also discussing the proposal. The UK Treasury will continue to cooperate with the FCA and the Bank of England through its cryptocurrency working group to consider the risks and opportunities presented by stablecoins (especially those with the potential to become global stablecoins). In addition, the UK Treasury Department will continue to work with FCA, the Bank of England and the Payment System Regulator (PSR) to study trends in the payment field, including the rise of digital payments, changes in payment infrastructure and other new technologies and business models.