The U.K. House of Commons approved new rules that place restrictions on the promotion of bitcoin assets there.
The Financial Conduct Authority (FCA) and the Treasury are given more authority to regulate and establish the legal status of cryptocurrencies as a result of the most recent modifications to the Financial Services and Markets Bill that are specifically focused on cryptocurrencies.
City Minister Andrew Griffith provided an explanation of the changes in his letter to the City Council, writing: “This new clause amends the Financial Services and Markets Act 2000 to clarify that the powers relating to financial promotion and regulated activities can be relied upon to regulate crypto assets and activities relating to crypto assets.”
Griffith has specifically moved to amend Section 21 of the Financial Markets and Services Act (2000), which prohibits unregulated entities from advertising or otherwise promoting investment activities, to add the phrase “including where an asset, right or interest is, or comprises or represents, a crypto asset.”
Crypto companies who want to continue doing business in the U.K. before the new bill becomes law have been rushing to obtain the FCA permission that will enable them to keep on as they have, including launching advertising campaigns.
Before approving crypto companies, the FCA carefully considers their capacity to combat financial crime.
