Most of the Countries in the world are currently proposing to regulate cryptocurrency. But in the UK, it is going to take another 2 years to draft the regulations.
According to a report by A London based corporate law firm Reynolds Porter Chamberlain (RPC), mentions “UK regulation of the crypto market would take two years to introduce”. This might be due to several reasons they mention in the report.
James Kaufmann, Legal Director at RPC said in the report that it will take two years to introduce regulations because the process to draft such bills are often “lengthy”.
Kaufmann also mentioned that,
[ctt template=”7″ link=”7bG14″ via=”yes” ]”Past precedents show it can take years to make relatively minor regulatory changes to the financial regulatory regime. For example, it took two and a half years from the Treasury’s original announcement (10 May 2004) for the regulation of home reversion plans to come in force (6 November 2006).”[/ctt]
The Treasury committee needs to study well before they start to draft the regulation for cryptocurrencies. They need to know the requirement for monitoring and where they need regulations. This process is also going to consume some time and this will impact the delay.
The European Parliament declared to enforce stricter regulations on cryptocurrency sector. Last time they said that Cryptocurrency exchanges and wallets must include customer identity verification. This will in-turn reduce money laundering and other illegal activities using cryptocurrencies.
Most countries are in a race to form the regulation for cryptocurrencies said, Kaufmann. Due to the use of cryptocurrency and usage can be widespread in Europe and around the world.
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