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Detail of outcome
The government received over 120 responses to the call for information. This document summarises the submissions received and outlines the government’s views and proposed next steps. At Budget 2015, the government is announcing the following:
the government intends to apply anti-money laundering regulation to digital currency exchanges in the UK, to support innovation and prevent criminal use. The government will formally consult on the proposed regulatory approach early in the next Parliament
the government will work with BSI (British Standards Institution) and the digital currency industry to develop voluntary standards for consumer protection
the government is launching a new research initiative which will bring together the Research Councils, Alan Turing Institute and Digital Catapult with industry in order to address the research opportunities and challenges for digital currency technology, and will increase research funding in this area by £10 million to support this
In August 2014, the Chancellor of the Exchequer announced a major programme of work looking into digital currencies and associated technologies, with a particular focus on whether they should be regulated. The government is now considering the benefits offered by digital currencies and the technology that underpins them, and whether it should take action to support innovation in this area. At the same time, the government is examining the risks presented by digital currencies and assessing whether action is required to mitigate any concerns.
Who should read this
This call for information invites views and evidence on the benefits and risks of digital currencies. It should be read by those with an interest in digital currencies and the future development of payments. This includes digital currency developers, digital currency exchanges, digital currency users, investors, academics, think-tanks, other government departments, international counterparts, banks, building societies and other payment service providers, payment scheme companies and e-money providers.
Information provided in response to this call for information, including personal information, may be published or disclosed in accordance with the Freedom of Information Act 2000 (FOIA). If you want the information that you provide to be treated as confidential, please be aware that, under the FOIA, there is a statutory Code of Practice with which public authorities must comply and which deals, among other things, with obligations of confidentiality.
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