Ripple and other Cryptocurrencies to be Regulated in the UK
April 16, 2018 2:54 pm
The UK to begin Regulation on Cryptocurrencies such as Ripple
Ryan Zagone, head of regulatory relations asked the UK regulators to discover a balance between “capturing risk and enabling innovation.” He highlighted three “pillars” for lawmakers for targetting in regulation such as consumer protection, anti-money laundering, and financial stability.
Mr. Zagone said:
“We’re at that time where we need to have more clarity and rules, and certainty. It’s a good time to start revisiting that ‘wait and see’ approach taken by regulators, comparing the regulatory environment on cryptocurrencies to the early days of the internet.”
Japan improved its rules on Bitcoin last year, introducing legislation for protecting consumers and forcing cryptocurrency exchanges to obey with anti-money laundering regulation. But revising rules for including new crypto-assets has been moving slower in the UK.
Recently, Ripple’s Chief Market Strategist said XRP is ‘Not a Security.’
Cory Johnson, Ripple’s chief market strategist, said to CNBC:
“We are not security. We do not meet the standards for what security is based on the history of court law. Coinbase never raised the issue of whether or not XRP is security in our discussions about listing XRP; we’re 100 percent clear, it’s not a security. We don’t meet the standards.”
He told the task force will help the UK control the risks around crypto-assets. Bank of England Governor Mark Carney warned that Bitcoin and other cryptocurrencies faced a regulatory clampdown and said that they had all the “hallmarks of a bubble.”
Mr. Zagone said:
“Regulation creates the guardrails on the highway that allows new entrants to come in, particularly institutional investors.”
Coindelite also reported that ripple has the proof which shows that it has a long way to go. Since Ripple is working with 40-50 central banks internationally, it is a massive part of Ripple’s story as once they have the central banks onboard; Ripple can divide and defeat the smaller entities.