The Government does not comment on details of the proposed business models of individual companies. However, this proposal raises wider questions for policy and financial regulation. The Government is working with the Bank of England, the Financial Conduct Authority and international counterparts to consider these issues.

More broadly, the Government established the Cryptoassets Taskforce – comprised of HM Treasury, the Financial Conduct Authority and the Bank of England - to explore the risks and potential benefits of cryptoassets and consider the appropriate response. The Taskforce’s response set out commitments to further consider the regulatory approach to cryptoassets. The Government will consult on its approach to unregulated cryptoassets later this year.

The Taskforce’s final report, found that cryptoassets do not currently pose a material threat to UK or global financial stability, however this could change in the future, and the Bank of England’s Financial Policy Committee will continue to monitor the situation.

The Government does not comment on details of the proposed business models of individual companies. However, large technology companies developing cryptoassets clearly raises wider questions for policy and financial regulation. The Government is working with the Bank of England, the Financial Conduct Authority and international counterparts to consider these issues.

More broadly, the Government established the Cryptoassets Taskforce^[1] to explore the risks and potential benefits of cryptoassets and consider the appropriate response. The Taskforce’s report set out commitments to further consider the regulatory approach to cryptoassets. The Government will consult on its approach to unregulated cryptoassets later this year.

The Government takes the protection and privacy of personal data extremely seriously. All organisations, especially the biggest global tech firms who process private financial data containing personal information, must comply with the GDPR and the UK's Data Protection Act 2018, which poses strict obligations on organisations to ensure that UK citizen's data is stored safely and securely.

[1] Comprised of HM Treasury, the FCA, and the Bank of England

The Government does not comment on the proposed business models of individual companies. More broadly, the Government established the Cryptoassets Taskforce – comprised of HM Treasury, the Financial Conduct Authority and the Bank of England – to explore the risks and potential benefits associated with cryptoassets and other applications of distributed ledger technology.

The Taskforce’s final report_[1] found that cryptoassets do not currently pose a material threat to UK or global financial stability, however this could change in the future, and the Bank of England’s Financial Policy Committee will continue to monitor the situation.

Treasury Ministers have meetings with a wide variety of organisations in the public and private sectors, as well as international counterparts, as part of the process of policy development and delivery.

Details of ministerial and permanent secretary meetings with external organisations on departmental business are published on a quarterly basis here: https://www.gov.uk/government/collections/hmt-ministers-meetings-hospitality-gifts-and-overseas-travel

[1] https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/752070/cryptoassets_taskforce_final_report_final_web.pdf

The Government does not comment on the proposed business models of individual companies. More broadly, the Government established the Cryptoassets Taskforce – comprised of HM Treasury, the Financial Conduct Authority and the Bank of England – to explore the risks and potential benefits associated with cryptoassets and other applications of distributed ledger technology.

The Taskforce’s final report_[1] found that cryptoassets do not currently pose a material threat to UK or global financial stability, however this could change in the future, and the Bank of England’s Financial Policy Committee will continue to monitor the situation.

Treasury Ministers have meetings with a wide variety of organisations in the public and private sectors, as well as international counterparts, as part of the process of policy development and delivery.

Details of ministerial and permanent secretary meetings with external organisations on departmental business are published on a quarterly basis here: https://www.gov.uk/government/collections/hmt-ministers-meetings-hospitality-gifts-and-overseas-travel

[1] https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/752070/cryptoassets_taskforce_final_report_final_web.pdf

The Government established the Cryptoassets Taskforce - comprised of HM Treasury, the FCA, and the Bank of England – to explore the risks and potential benefits of cryptoassets and consider the appropriate response. The Taskforce’s report^[1] set out commitments to further consider the regulatory approach to cryptoassets.

The Government has recently consulted on plans to go beyond the requirements set out in the EU’s Fifth Anti-Money Laundering Directive to bring all relevant cryptoasset firms into anti-money laundering regulation.

The Government will consult on its approach to unregulated cryptoassets later this year.

[1] https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/752070/cryptoassets_taskforce_final_report_final_web.pdf

[1] Full version of the report is available at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/752070/cryptoassets_taskforce_final_report_final_web.pdf

The Government has considered its approach to cryptoassets through the Cryptoassets Taskforce - comprised of the Treasury, the Bank of England, and the Financial Conduct Authority (FCA)^[1]. The Government will be consulting on its approach to cryptoassets this year.

The FCA has issued consumer warnings highlighting the risks of cryptoassets and warning that any individual investing in cryptoassets should be prepared to lose money. Cryptoassets have also been added to the FCA’s ScamSmart website, which helps consumers to avoid falling victim to common types of scams and investment fraud.

[1] https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/752070/cryptoassets_taskforce_final_report_final_web.pdf

The Government currently does not have any plans to encourage the mining of cryptoassets in the UK.

The government established the Cryptoassets Taskforce - comprised of HM Treasury, the FCA, and the Bank of England – earlier this year, to explore the risks and potential benefits of cryptoassets and consider the appropriate response. The Taskforce’s report sets out the path forward with respect to cryptoasset regulation in the UK.

The government will:

• bring cryptoasset exchanges and custodian wallet providers within the scope of anti-money laundering and counter-terrorist financing regulation through the transposition of the EU Fifth Anti-Money Laundering Directive (5MLD), and consult on going beyond the requirements of 5MLD;

• consult on whether the regulatory perimeter requires extension in relation to cryptoassets that have comparable features to specified investments but that fall outside the perimeter; and

• issue a consultation to further explore whether and how exchange tokens and related firms, such as exchanges and wallet providers, could be regulated effectively.

The Cryptoassets Taskforce published its full report on Budget day. The report is available at: https://www.gov.uk/government/publications/cryptoassets-taskforce.

The Cryptoassets Taskforce sets out actions on page 48 to 49 that HM Treasury, the Financial Conduct Authority and the Bank of England will take to protect consumers, allow innovation to thrive, and maintain the UK’s international reputation as a safe and transparent place to do business in financial services, with high regulatory standards.

The government published the joint HM Treasury – Financial Conduct Authority – Bank of England Cryptoassets Taskforce report on 29 October alongside the Budget.

The report commits the authorities to taking a range of actions to mitigate the risks posed by cryptoassets to consumers and markets, while still allowing innovation to thrive.

The Government has not made a formal assessment of any potential implications of recent changes in the value of cryptocurrencies. However, the Government continues to monitor developments in the cryptocurrency market.

The Chancellor of the Exchequer launched the Cryptoassets Taskforce in March, consisting of HM Treasury, the Bank of England and the Financial Conduct Authority. The Taskforce is considering the risks and potential benefits of cryptoassets and other applications of distributed ledger technology in financial services, as well as assessing what, if any, regulation is required in response. The Taskforce will publish a report in the Autumn.

The Chancellor has not had any formal discussions with the Bank of England about a state-backed digital currency. Whilst the Bank of England is not planning to create a central bank-issued digital currency, it has been carrying out research to understand any potential implications. For more information on this research, please visit this page: https://www.bankofengland.co.uk/research/digital-currencies

This Government is taking the increased use of cryptoassets seriously. We want to harness the potential benefits of the underlying distributed ledger technology, while managing the risks posed by developments in cryptoassets to consumers and markets.

The Government has set up a Cryptoasset Taskforce comprising of HM Treasury, the Bank of England and the Financial Conduct Authority. The Taskforce’s objectives include exploring the impact of cryptoassets, and the potential benefits and challenges of the application of distributed ledger technology in financial services. It will also assess what, if any, regulation is required in response. The Taskforce will deliver a report in September 2018.

HM Treasury is also liaising with the National Crime Agency and the National Cyber Security Centre to better understand their approach to the cyber security risks to consumers of cryptoassets.