According to a report by “The Block,” UK Chancellor of the Exchequer Jeremy Hunt stated that he will investigate claims of difficulties faced by licensed cryptocurrency companies in the country when trying to open business accounts.
In response to questions raised by Lisa Cameron, chair of the cross-party parliamentary group on crypto and digital assets, regarding the challenges faced by licensed cryptocurrency companies in the UK, Hunt agreed to meet with Economic Secretary to the Treasury Bim Afolami to discuss the matter.
Hunt responded by saying that he will arrange a meeting with the Treasury to investigate, taking the opportunity to state that “the UK, particularly London, has become a global hub for cryptocurrencies.” Hunt added:
In April 2022, UK Prime Minister Rishi Sunak, during his tenure as Chancellor of the Exchequer, announced plans to transform the country into a “global cryptocurrency hub.” Subsequently, the UK has advanced this goal through legislation, such as new regulations overseeing the country’s Digital Securities Sandbox (DSS) project.
The “Digital Securities Sandbox” regulations, according to an official document, will provide rules for UK financial regulatory authorities to oversee tokenized securities sandbox, with provisions set to take effect on January 8, 2024, as part of the UK Government’s Financial Services and Markets Act 2023 (FSMA).
The regulations outline overall restrictions on which businesses can operate within the digital securities sandbox and which participants are eligible to join. The digital securities sandbox will allow regulatory authorities and businesses to test solutions involving technologies such as distributed ledger and securities tokenization.