Latest Proposals From The FSB On Regulating Cryptoasset Activities And Stablecoins

The market they form is complex and ever evolving, but consistent regulation, both domestically and internationally, has been somewhat lacking to date. As such, the Financial Conduct Authority urges caution before investing in cryptoassets, stressing that “the cryptoassets you are using may not be regulated”.

However, the continued presence of cryptoassets including stablecoins suggests that regulation of such assets, rather than warning against them, is the better course of action. They are interconnected with the wider financial system, so taking steps to manage the risks posed by their vulnerabilities (whilst taking advantage of the benefits) could allow for confidence in secure trading and cross-border transfers. With the UK HM Treasury announcing  plans to make the UK a global cryptoasset technology hub (our