{"id":531443,"date":"2022-12-26T13:43:18","date_gmt":"2022-12-26T10:43:18","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/ftx-collapse-calls-for-prudent-regulation-in-the-uk\/"},"modified":"2022-12-26T13:43:18","modified_gmt":"2022-12-26T10:43:18","slug":"ftx-collapse-calls-for-prudent-regulation-in-the-uk","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/ftx-collapse-calls-for-prudent-regulation-in-the-uk\/","title":{"rendered":"# FTX collapse calls for &#8216;prudent regulation&#8217; in the UK"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a325659873ab\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a325659873ab\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/ftx-collapse-calls-for-prudent-regulation-in-the-uk\/#%E2%80%9D_FTX_collapse_calls_for_%E2%80%98prudent_regulation_in_the_UK_%E2%80%9C\" >&#8221; FTX collapse calls for &#8216;prudent regulation&#8217; in the UK &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_FTX_collapse_calls_for_%E2%80%98prudent_regulation_in_the_UK_%E2%80%9C\"><\/span>&#8221; FTX collapse calls for &#8216;prudent regulation&#8217; in the UK &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTIvYzBiNzlkZjctNTg5NC00YjliLWIyYjYtYzY0MzYwOTBjM2QxLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-71d2d00b>The collapse of FTX is being viewed as a cautionary tale and a precursor for more prudent regulation by public and private sector players in the United Kingdom.<\/p>\n<p>Bank of England deputy governor Sir Jon Cunliffe made headlines ahead of the Christmas weekend in an <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/news.sky.com\/story\/ftx-collapse-shows-crypto-is-too-dangerous-not-to-regulate-bank-of-england-deputy-governor-says-12773169\">interview<\/a> with Sky <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a>, outlining his belief that greater protection needs to be afforded to investors in the U.K. looking to gain exposure to cryptocurrency markets.<\/p>\n<p>Cunliffe stressed that prospective cryptocurrency users and investors should have a structure to invest in the asset class that ensures similar consumer protection and integrity to conventional financial markets.<\/p>\n<p>The deputy governor highlighted increased interest in cryptocurrency markets from financial institutions and retail users as a driving force behind the need for greater regulatory oversight in the country:<\/p>\n<blockquote><p>\u201cWe had banks and investment funds and others who wanted to invest in it and I think we should think about regulation before it becomes integrated with the financial system and before it becomes a systemic problem.\u201d<\/p><\/blockquote>\n<p>Cunliffe also used the collapse of FTX as an example where existing regulatory parameters guiding the traditional finance sector may have provided protection to users that have been left out of pocket.<\/p>\n<blockquote><p>\u201cWe saw things like clients&#8217; money <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ears to have gone missing, conflicts of interest between different operations, transparency, audit and accounting.&#8221;<\/p><\/blockquote>\n<p>Drawing parallels to the gambling sector in the U.K., Cunliffe said that investors should have access to a regulated environment that prevents losing access to funds as was the case in the collapse of FTX.<\/p>\n<p><strong><em>Related:\u00a0UK crypto bill to restrict services from abroad: Report<\/em><\/strong><\/p>\n<p>Cointelegraph reached out to Mitch Mechigian, partner at investment firm Blockchain Coinvestors, for more insight into the current regulatory environment for the cryptocurrency and blockchain ecosystem in the U.K.<\/p>\n<p>Based in London, Mechigian highlighted his view that financial institutions and regulators continue to see value in blockchain <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> and digital assets in a post-Brexit British economy:<\/p>\n<blockquote><p>\u201cBritish financial institutions and banks \u2013 many of whom already are investing heavily in blockchain technology \u2013 continue to want to participate in the digitalization of commerce, which starts with digital assets, monies and commodities.\u201d<\/p><\/blockquote>\n<p>The collapse of FTX demonstrates the importance of \u2018prudent regulation\u2019 according to Mechigian. He added that astute regulators in both the United States and U.K. are drawing clear distinctions between \u2018off-shore and fraudulent\u2019 enterprises like FTX and legitimate blockchain technology solutions that facilitate the digitalization of assets, money and commerce.<\/p>\n<p>2022 has been a tumultuous year for politics in the U.K., with three separate Prime Ministers taking office in the space of a few months. Despite the \u2018political economic chaos\u2019, Mechigian said that parliament continues to move towards passing the Financial Markets and Services bill, which would recognize cryptoassets as financial instruments.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"law_decoded\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/ftx-collapse-calls-for-prudent-regulation-in-the-uk\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; FTX collapse calls for &#8216;prudent regulation&#8217; in the UK &#8220; The collapse of FTX is being viewed as a cautionary tale and a precursor for more prudent regulation by public and private sector players in the United Kingdom. Bank of England deputy governor Sir Jon Cunliffe made headlines ahead of the Christmas weekend in&#8230;<\/p>\n","protected":false},"author":1,"featured_media":531444,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/cdn-cgi\/image\/format=auto,onerror=redirect,quality=90,width=1200\/https:\/\/s3.cointelegraph.com\/uploads\/2022-12\/c0b79df7-5894-4b9b-b2b6-c6436090c3d1.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[75044,74863,88784,74355,70934,4966],"class_list":["post-531443","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bank-of-england","tag-cryptocurrencies","tag-uk-government","tag-adoption","tag-regulation","tag-united-kingdom"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/531443","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=531443"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/531443\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/531444"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=531443"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=531443"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=531443"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}