US and UK regulators met to discuss broader crypto regulatory initiatives. They reaffirmed their “continued cooperation to support secure financial innovation and strengthen regulatory outcomes for stablecoins across jurisdictions.”
U.S. and U.K. regulators cooperate on crypto regulation
The U.S. Treasury Department last week issued a joint statement on the U.K.-U.S. Financial Regulation Working Group.
The group met on July 21. Participants included officials and senior staff from the UK Treasury, Bank of England, Financial Conduct Oversight Authority, US Treasury, Federal Reserve Board, Commodity Futures Trading Commission (CFTC), Federal Deposit Insurance Corporation (FDIC), Office of the Comptroller of the Currency (OCC), and Securities and Exchange Commission (SEC).
The statement explains that the Financial Regulatory Working Group was formed in 2008 “to deepen bilateral regulatory cooperation to further promote financial stability, investor protection, fair, orderly, and efficient markets, and capital formation in both regions.”
On financial innovation, they echoed the outcomes of the U.S.-U.K. Financial Innovation Partnership meeting held in June. They exchanged views on “crypto asset regulation and recent market developments, including those related to stablecoins, and the exploration of central bank digital currencies (CBDCs),” the Treasury detailed.
All participants committed to continue working together to support secure financial innovation and strengthen regulatory outcomes for stablecoins across jurisdictions.
“Participants also discussed future opportunities for further discussion on broader crypto asset regulation initiatives.” Treasury added.
The U.S. and U.K. regulators “recognized the importance of continued partnership on global financial innovation and the importance of maintaining and further engaging in multilateral discussions on these topics,” the statement concluded.
Nikhil Rathi, chief executive of the UK Financial Conduct Authority, said in July:” The United States and the United Kingdom will deepen their collaboration on crypto asset regulation and market development, including in relation to the exploration of stablecoin and central bank digital currencies.”
The U.K. government outlined its legislative agenda, including “the secure introduction of cryptocurrencies,” in the Queen’s Speech in May. There are also plans to make the country a global crypto hub and “a place where crypto is hospitable,” including establishing a dynamic regulatory framework for crypto, regulating stablecoins, and working with the Royal Mint to create a non-fossil token (NFT). Last week, the country’s Law Commission, a statutory independent body, released proposals to reform laws related to digital assets.
Image credit: Shutterstock, Pixabay, Wiki Commons
