With Crypto Fan Rishi Sunak Having Become Prime Minister, What Could It Mean For The Sector In The UK - TAG Consultancy

[Liz Seyi]

The political and economic turbulence seen over the past few months in the UK has been quite unlike any the country has experienced in its recent history. Many users of compliance crypto services like our own at TAG Consultancy who might be eager to see signs of not only stability, but also the more whole-hearted embrace of crypto, might have reason for hope in the shape of the new Prime Minister.
It remains to be seen, of course, exactly what the recently appointed Rishi Sunak’s premiership will look like in the long run.
However, the news of the former Chancellor of the Exchequer’s rise to the top job in UK politics has prompted many observers to look back on his previous expressions of enthusiasm for cryptocurrency – even extending to ambitions to turn the UK into a crypto hub.
There are cautious hopes of positive moves for crypto in the UK
Before we go any further, it should be noted that Mr Sunak has an extremely full ‘in-tray’ already; fears of a long recession, as well as all the instability caused around the world by the ongoing Russian invasion of Ukraine, mean the new Prime Minister has plenty to think about beyond crypto.
But even if advancing the cause of crypto in the UK will hardly be at the top of the Prime Minister’s priority list right now, industry insiders have been making positive noises about what his premiership could mean for the sector.
In the words of one digital lending start-up co-founder, Christian Faes, as recently quoted by CNBC: “The feeling among entrepreneurs is one of relief… Rishi sees the opportunity and potential that crypto has, and wants the UK to be a leader in it.”
What moves has Mr Sunak made on crypto so far?
It was only as recently as June when Mr Sunak, then still Chancellor prior to his resignation from that position the following month, said at a drinks reception organised by a venture capital firm that he was “determined” to transform the UK into “the jurisdiction of choice for crypto and blockchain technology.”
Several months earlier, he had set out a broader plan to make the UK a global crypto hub, encompassing such measures as bringing stablecoins within the regulatory parameters, and getting The Royal Mint – the centuries-old producer of British coins – to launch a non-fungible token (NFT).
Back in the spring of 2021, Mr Sunak’s Treasury instigated a joint taskforce with the Bank of England, considering the feasibility of a token that would be recognised as equivalent to the UK pound. Although this project has been referred to as “Britcoin”, it is not thought that such a token would bear much resemblance to the decentralised Bitcoin.
The UK would seem to have strong long-term potential in this space
As we have previously reported here at TAG Consultancy, the UK has recently been climbing the crypto growth ‘league table’, which suggests there are some strong fundamentals in place for the Prime Minister to build on once he does turn his attention again to crypto’s potential in the country.
In the meantime, we stand ready to continue assisting you with compliance crypto services and related solutions that will empower you to get more out of your own involvement in this space.
Simply get in touch with our team today to arrange a free consultation, so that we can more closely explore how we could work together.