Full of sound and fury, signifying nothing”: can crypto regulation work?
The recent ups and downs in the crypto industry are uncomfortably analogous to a Shakespearean tragedy, with the trials and tribulations the sector has experienced in the past months reminding us of other ‘get-quick-rich’ schemes of days gone by, real or fictional.
In this article for The Banker, Keith Oliver and Amalia Neenan review some of the recent scandals that have plagued the crypto sphere, including the implosion of FTX, and ask what kind of crypto cure is needed to stop the contagion.
Could legislation currently under review be the answer?
The Financial Conduct Authority already has some powers, but these are limited and, by its own admittance “don’t cover how cryptoasset firms conduct their business with [customers]”. However, a recently introduced bill attempts to revamp the way the UK regulates digital assets, by (in part) enabling the Treasury to adapt and amend existing regulation, as well as create new frameworks.
So, is the Financial Services and Markets Bill just what the doctor ordered?