The UK’s digital asset industry struggles as only a few crypto businesses have enrolled with the national financial oversight agency. This situation raises questions about the current framework and its capacity to nurture innovation while ensuring proper security measures. Critics contend that the registration process may be too cumbersome, potentially stifling growth in the sector. How might policy adjustments or enhanced support encourage more crypto firms to comply with regulatory requirements?
Having closely observed the regulatory landscape, it appears that adjustments focusing on reducing administrative burdens could indeed prove beneficial. In my experience, communication between regulatory bodies and crypto firms has often been limited, which adds to the uncertainty around compliance. A more flexible, consultative approach would not only guide companies through the registration process more effectively, but also foster a culture of trust and accountability. Streamlining procedures while maintaining robust security measures would likely lead to increased device adoption without compromising on essential oversight.