Rishi Sunak Becomes Prime Minister of Britain – What This Means for UK Crypto

Rishi Sunak, the youngest member of the British parliament at 42 years old, was recently voted in as Prime Minister. Following Liz Truss’ controversial exit from office, Rishi Sunak was appointed to replace her as Prime Minister. The markets’ reaction to Liz Truss’s disastrous mini-budget forced her resignation. The pound plummeted against the dollar, bond yields jumped, and stock markets tumbled. Additionally, the mortgage, pension, and housing markets all took a hit.

Sunak is a surprise pick, but not entirely unexpected. His name has been floating around for some time as a potential candidate, and his experience in finance is expected to come in handy.

His appointment has sent some shock waves through the crypto community. Touted as one of the most pro-crypto ministers, Sunak’s appointment is a huge win for the crypto community. Many people in the cryptocurrency world have welcomed his appointment, including Coinbase CEO Brian Armstrong and Binance co-founder Yi He.

His appointment is coming at an exciting time, as UK regulators have started clamping down on the crypto market. Sunak has been a vocal supporter of the cryptocurrency industry. As finance minister under Boris Johnson, he declared he wanted to make the United Kingdom a centre for the cryptocurrency industry.

He introduced the Financial Services and Markets Bill, granting regulators extensive control over the cryptocurrency market. If it becomes law, this bill could include equity cryptocurrencies like stablecoins under existing disbursement rules and regulations. Sunak received support from Truss’ cabinet, but her exit was poised to alter everything fundamentally.

According to Chainalysis’ report on European cryptocurrency transactions, the United Kingdom has the highest value of such transactions among European countries. Last year, the total value of transactions involving digital currencies in Britain surpassed the total amount spent by France, Germany, and Netherlands combined. This is a staggering amount of money for just one country.

The UK has been a hotbed for Bitcoin activity. High levels of buying and selling indicate that the country’s residents are actively trading the cryptocurrency rather than simply holding it. The UK government has made some significant strides in the crypto space. Earlier this year, it passed legislation that makes stablecoins legal forms of payment for goods and services within the country.

This is a big deal since it shows a willingness to embrace cryptocurrency, which is something that other countries have been slow to do. It indicates that the UK is ready to become a central hub for crypto assets. Now that Rishi Sunak has been appointed prime minister, he has more room to operate. He is set on making this dream come true, so we’re excited to see what happens next.

The United Kingdom’s decision to appoint someone with financial experience, such as Mr Sunak, is expected to help bring more stability and confidence into the cryptocurrency market, which has been volatile lately due to concerns about over-regulation.

The best way to address the regulatory issues surrounding cryptocurrencies is by ensuring they are accepted as currencies on foreign exchange markets. An FCA report recommended that exchanges operating within the UK should be subject to tougher anti-money laundering and counter-terrorist financing regulations. When transactions take place within a regulated framework, it is more straightforward to identify and address problems such as money laundering or tax evasion.

Parting shot

Cryptocurrencies are here to stay, and the market is only set to grow. Thanks to all the work in progress to educate the masses about cryptocurrencies, it was only a matter of time before a government leader would finally embrace this new technology. Hopefully, many politicians and leaders will follow suit.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.