On 3 November, the government launched a month-long Call for Information on the benefits and risks of digital currencies.
The government announcement states that the Call is part of moves to support the growth of Britain’s emerging FinTech sector and ensure customers can take advantage of the latest innovations when they make payments.
The government is calling for views from a wide range of sources including the public, FinTech firms, the financial services industry, regulators and law enforcement agencies on the potential digital currencies have for delivering new, helpful ways for customers to make payments and for encouraging innovation in our world leading financial sector.
The announcement of the Call states that cementing Britain’s position as the centre of global finance and opening up the country’s banking sector to more competition, benefiting consumers and businesses is key to the government’s long term economic plan: ‘ensuring Britain remains at the forefront of financial innovation is central to both these aims’.
The government considers that digital currencies have the potential to deliver real benefits to customers but is aware of risks and would like more information about the benefits and the risks.
The Call for Information follows the Chancellor’s announcement in August 2014 that the government will start a programme of work looking into how digital currencies could or should be regulated in Britain. The government will use the views and evidence it receives as it considers measures to support innovation in this sector.
The Call for Information closes on Wednesday 3 December.
