The Government is not developing economic models to forecast cryptoasset trends. Rather, it uses information from a range of sources to understand broad trends in the market in order to inform policy development.<\/p>
In October last year, the Treasury published its final proposals for creating the UK\u2019s financial services regulatory regime for cryptoassets, and is currently working to deliver legislation giving effect to its proposals. As part of this, the government will publish analysis of the impacts of its legislation on cryptoasset businesses in scope of the forthcoming regime in the usual way.<\/p>
<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4639", "label" : {"_value" : "Biography information for Bim Afolami"} } , "answeringMemberConstituency" : {"_value" : "Hitchin and Harpenden"} , "answeringMemberPrinted" : {"_value" : "Bim Afolami"} , "dateOfAnswer" : {"_value" : "2024-04-25", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2024-04-25T09:27:23.187Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2024-04-19", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, whether he is developing economic models to forecast (a) price trends and (b) growth potential in cryptocurrencies.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4638", "label" : {"_value" : "Biography information for Mr Tanmanjeet Singh Dhesi"} } , "tablingMemberConstituency" : {"_value" : "Slough"} , "tablingMemberPrinted" : [{"_value" : "Mr Tanmanjeet Singh Dhesi"} ], "uin" : "22784"} , {"_about" : "http://data.parliament.uk/resources/1701802", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1701802/answer", "answerText" : {"_value" : "
In April 2022, the government set out ambitious plans for the UK to harness the benefits of crypto technologies. It is taking forward a number of measures to both foster innovation and implement a regulatory framework that encourages responsible participation in cryptoasset markets.<\/p>
<\/p>
HM Treasury recently finished consulting on wide-ranging proposals for cryptoasset regulation, aimed at placing the UK at the forefront of crypto innovation and responding to risks in the market. These proposals seek to provide the regulatory clarity needed for long-term investment, innovation, consumer protection, and financial stability for cryptoassets firms to operate in the UK. The government will publish a response to the consultation in due course.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4874", "label" : {"_value" : "Biography information for Andrew Griffith"} } , "answeringMemberConstituency" : {"_value" : "Arundel and South Downs"} , "answeringMemberPrinted" : {"_value" : "Andrew Griffith"} , "dateOfAnswer" : {"_value" : "2023-10-16", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2023-10-16T09:10:44.27Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2023-09-13", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what steps he is taking to encourage cryptocurrency companies to operate in the UK.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4127", "label" : {"_value" : "Biography information for Julie Elliott"} } , "tablingMemberConstituency" : {"_value" : "Sunderland Central"} , "tablingMemberPrinted" : [{"_value" : "Julie Elliott"} ], "uin" : "199391"} , {"_about" : "http://data.parliament.uk/resources/1542806", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1542806/answer", "answerText" : {"_value" : "
The UK, like many other countries globally, is actively exploring the potential role of a Central Bank Digital Currency (CBDC). The Government and the Bank of England have not yet made a decision on whether to introduce a CBDC in the UK. The Government is engaging widely with a diverse range of stakeholders on the benefits, risks and practicalities of doing so. The Government has committed to publishing a joint consultation from HM Treasury and the Bank of England setting out their assessment of the case for a UK CBDC.<\/p>
<\/p>
In April 2021 the Government announced a new joint HMT and Bank of England CBDC Taskforce to coordinate the exploration of a potential UK CBDC.\u202fThis Taskforce ensures a strategic approach to CBDC work underpinned by effective coordination between UK authorities \u2013 including Government departments, financial regulators, HMT and the Bank of England.<\/p>
<\/p>
In April 2021 the Treasury also announced a new stakeholder Engagement Forum and Technology Forum. These groups are engaging with a broad range of stakeholders and technology experts on various issues relating to the exploration of a possible UK CBDC, including on risks, benefits, and technical design. The Bank received diverse applications from across industry for membership of both of these groups, and final membership is public. The minutes have been published on the Bank of England Website.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4874", "label" : {"_value" : "Biography information for Andrew Griffith"} } , "answeringMemberConstituency" : {"_value" : "Arundel and South Downs"} , "answeringMemberPrinted" : {"_value" : "Andrew Griffith"} , "dateOfAnswer" : {"_value" : "2022-11-21", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-11-21T11:08:13.967Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-11-16", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, whether his Department has had recent discussions with relevant stakeholders on the potential merits of establishing a cryptocurrency managed by the Government.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4772", "label" : {"_value" : "Biography information for Kenny MacAskill"} } , "tablingMemberConstituency" : {"_value" : "East Lothian"} , "tablingMemberPrinted" : [{"_value" : "Kenny MacAskill"} ], "uin" : "89041"} , {"_about" : "http://data.parliament.uk/resources/1472056", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1472056/answer", "answerText" : {"_value" : "
The Government set out at Fintech Week our firm ambition to make Britain a global hub for cryptoasset technology and investment. The Government wants to ensure firms can invest, innovate and scale up in this country. And the Government has announced a number of reforms which will see the regulation and aspects of tax treatment of cryptoassets evolve \u2013 our clear message to cryptoasset firms is that the UK is open for business.<\/p>
<\/p>
These include committing to consult on a future regulatory regime later this year; legislating to bring stablecoins into payments regulation; setting up a ministerial-chaired Cryptoasset Engagement Group, bringing together key figures in industry; working with the Royal Mint to create a Non-Fungible Token; and exploring ways of enhancing the competitiveness of the UK tax system to encourage further development of the cryptoasset market in the UK.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-06-27", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-06-27T13:36:50.467Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-06-21", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what progress he has made towards making the UK an attractive place for cryptocurrency companies to operate.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4844", "label" : {"_value" : "Biography information for Matt Vickers"} } , "tablingMemberConstituency" : {"_value" : "Stockton South"} , "tablingMemberPrinted" : [{"_value" : "Matt Vickers"} ], "uin" : "22601"} , {"_about" : "http://data.parliament.uk/resources/1471263", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1471263/answer", "answerText" : {"_value" : "
In April the Government announced a number of specific reforms to strengthen cryptoasset regulation, including a commitment to bring stablecoins into payments regulation, and to consult on a wider cryptoasset regulatory regime later this year. The Government has also announced forthcoming legislation which, along with supportive Financial Conduct Authority (FCA) rules, will regulate in-scope cryptoasset financial promotions, requiring them to be fair, clear and not misleading for consumers. The Government has taken action to mitigate the illicit finance risks associated with cryptoassets. All cryptoasset firms in the UK must now be registered for supervision by the Financial Conduct Authority. As a part of this process, cryptoasset firms must demonstrate systems, controls, policies and procedures adequate to deal with the particular risks of the cryptoasset market and any officers, managers and beneficial owners must be fit and proper.<\/p>
<\/p>
These commitments are in line with the Government\u2019s objectives to create a regulatory environment in which firms can innovate, while crucially maintaining financial stability and regulatory standards so that people can use new technologies both reliably and safely. The Cryptoasset Taskforce \u2013 HMT, the Bank of England, and the FCA \u2013 continues to monitor ongoing development in cryptoasset markets closely.<\/p>
<\/p>
Volatility is a characteristic of certain cryptoassets. The FCA and Bank of England have warned that cryptoassets are high risk investments, and that investors should be prepared to lose all of their money.<\/p>
<\/p>
The Bank of England\u2019s Financial Policy Committee (FPC) has recently noted that direct risks to the stability of the UK financial system from cryptoassets are limited, and that crypto technologies are growing and becoming more interconnected with the core financial system.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4726", "label" : {"_value" : "Biography information for Baroness Penn"} } , "answeringMemberPrinted" : {"_value" : "Baroness Penn"} , "dateOfAnswer" : {"_value" : "2022-06-27", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-06-27T16:14:17.683Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-06-16", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "2"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25277", "prefLabel" : {"_value" : "House of Lords"} } ], "questionText" : "To ask Her Majesty's Government what assessment they have made of the (1) safety, and (2) security, of cryptocurrencies.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4303", "label" : {"_value" : "Biography information for Baroness Kennedy of Cradley"} } , "tablingMemberPrinted" : [{"_value" : "Baroness Kennedy of Cradley"} ], "uin" : "HL1036"} , {"_about" : "http://data.parliament.uk/resources/1465166", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1465166/answer", "answerText" : {"_value" : "
The Financial Conduct Authority plan to re-run the UK cryptoassets consumer research later this year.<\/p>
<\/p>
There is currently no 2022 estimate for the proportion of UK adults holding money on crypto exchanges who give their reason for buying cryptocurrencies as a gamble to make or lose money.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-05-26", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-05-26T10:21:36.91Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-05-23", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, pursuant to the Answer of 19 May 2022 to Question 1257 on Cryptocurrencies, if he will provide the 2022 estimate for the proportion of UK adults holding money on crypto exchanges who give their reason for buying cryptocurrencies as a gamble to make or lose money.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4518", "label" : {"_value" : "Biography information for Tulip Siddiq"} } , "tablingMemberConstituency" : {"_value" : "Hampstead and Kilburn"} , "tablingMemberPrinted" : [{"_value" : "Tulip Siddiq"} ], "uin" : "6852"} , {"_about" : "http://data.parliament.uk/resources/1463696", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1463696/answer", "answerText" : {"_value" : "
At Fintech Week, the government set out the firm ambition to make Britain a global hub for cryptoasset technology and investment. We want to ensure firms can invest, innovate and scale up in this country. And we have announced a number of reforms which will see the regulation and aspects of tax treatment of cryptoassets evolve \u2013 our clear message to cryptoasset firms is that the UK is open for business.<\/p>
<\/p>
In addition to legislating to bring stablecoins into payments regulation, these include committing to consult on future regulation of a broader set of cryptoasset activities later this year; setting up a ministerial-chaired Cryptoasset Engagement Group, bringing together key figures in industry; working with the Royal Mint to create a Non-Fungible Token; and exploring ways of enhancing the competitiveness of the UK tax system to encourage further development of the cryptoasset market in the UK.<\/p>
<\/p>
These commitments are in line with our objectives to create a regulatory environment in which firms can innovate, while crucially maintaining financial stability and regulatory standards so that people can use new technologies both reliably and safely.<\/p>
<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-05-24", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-05-24T09:01:51.543Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-05-17", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Cryptocurrencies"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, in addition to introducing stablecoin regulation, what other steps he plans to take to encourage cryptocurrency firms to (a) remain in and (b) return to the UK.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/1447", "label" : {"_value" : "Biography information for Andrew Rosindell"} } , "tablingMemberConstituency" : {"_value" : "Romford"} , "tablingMemberPrinted" : [{"_value" : "Andrew Rosindell"} ], "uin" : "3490"} ], "itemsPerPage" : 10, "next" : "http://eldaddp.azurewebsites.net/answeredquestions.text?_page=1&min-answer.questionFirstAnswered.=2019-10-21T15%3A14%3A18.677Z&hansardHeading=Cryptocurrencies", "page" : 0, "startIndex" : 1, "totalResults" : 48, "type" : ["http://purl.org/linked-data/api/vocab#ListEndpoint", "http://purl.org/linked-data/api/vocab#Page"]} }