• Rita Liu, Chief Executive Officer at Mode


• 31.03.2022 09:30 am
#UK #crypto

"As just the fourth firm to be approved in the regime, we welcome new regulation as it encourages prosperity in the UK’s burgeoning crypto sector. As businesses that handle money, it is the correct approach for the FCA to ensure firms are suitably regulated and hold the relevant certification, such as the AML supervision.

"The FCA faces its Facebook moment this week. The regulator sits at a crossroad: take action and encourage the burgeoning fintech and crypto sector or fall by the wayside. As we’ve seen with social media, if regulators don’t act quickly on the outset then it can cause issues for the sector further on down the line as it might evolve outside regulatory supervision.

"We recognise that this is a complicated case for the regulator, but as an industry businesses need to do more to meet the FCA's stringent guidelines, which ultimately leads to more confidence in the sector from both investors and consumers alike. Too many businesses have been operating in a quasi state, and they need to commit fully to the long-term and ensure that ultimately they have the appropriate certification to protect their customers. This is the only way for the UK crypto sector to be sustainable in the long term.

"The UK has been at the forefront of fintech and financial services for decades, and this is an opportunity for it to continue to do so. We have a wealth of talent in the UK, and we need to keep it here. This means making sure relevant regulation is appropriate enough to protect the consumer but flexible enough that it allows businesses the space to innovate, while also ensuring companies take the necessary steps to receive approval from the relevant bodies."