Ashley Alder, incoming chairman of FCA ( Financial Conduct Authority), a regulatory body for the British financial sector, plans severe obstructions against the crypto industry in the UK once he takes office in February. For him, cryptocurrencies facilitate money laundering.
Crypto risks big in England when new FCA president arrives
The future chairman of the Financial Conduct Authority (FCA) intends to lead a crusade against crypto companies already operating and those wishing to establish themselves in the UK. This is reported by our colleagues at the Financial Times.
Ashley currently heads the Securities & Futures Commission in Hong Kong and will become chairman of the FCA in February 2023. However, he said on Wednesday, December 14, that he will subject UK crypto companies to tough regulation. This was in front of MPs, during a virtual meeting with members of the UK Treasury.
For Ashley lan Alder, Exchanges are “deliberately evasive” and allow massive money laundering.
“Our experience to date with Exchanges, whether they are FTX or otherwise, is that they are deliberately evasive. They are a method by which money laundering occurs in size,” he said.
Recall that the FCA is a financial regulator in the UK. It is responsible for regulating the financial services industry to protect consumers and maintain the stability of the sector.
Indeed, the collapse of FTX has influenced the decisions of regulators in several countries. This may be one of the reasons why the FCA is becoming more repressive towards the Exchanges. In addition, the UK is about to launch its digital pound. This also gives Bitcoin and cryptos that are potential competitors a hard time.
Regardless, the rhetoric that cryptocurrencies fund illicit activities is an aberrant fantasy that no longer holds water. Chainalysis’ report released on January 26, 2022 notes that only 0.05% of crypto transactions had a connection to money laundering in 2021. If the FCA intends to hinder launderers in the UK, it needs to look elsewhere for the bad guys.
Coming from a journalism university background, I came across Bitcoin and cryptocurrencies not long ago.
The potential of the Blockchain seduced me and I made it my research topic.