UK government will tighten rules on crypto advertising, and advertising regulation in alignment with other financial promotions. In a recent press release, HM Treasury of the UK Treasury said, “We are eager to help innovate crypto assets and certain products such as Stablecoin could provide a more efficient means of payment.” This move will bring crypto marketing within the scope of financial promotion law.
This means that the promotion of eligible crypto assets follows the rules of the Financial Conduct Authority (FCA), which is the same standard that financial promotions for stocks, stocks and insurance products are held.
Finance Minister Rishi Sunak stated that “Cryptocurrency assets can offer exciting new opportunities and new ways of trading and investing in people, but it’s important that consumers don’t sell misleading alleged products.”
The Government Task Force on Cryptocurrencies has been pondering regulatory compliance for this sector since 2018. The consultation document, released on Tuesday, considered many concerns from space companies, including the government’s definition of crypto assets, the implementation of transition periods, and the proposed course of action. The proposed definition is some of the eligible crypto assets, including being substitutable, transferable, not e-commerce under e-commerce regulations, and not a currency issued by a central bank or public institution.
