The U.K. Parliament has voted through a new bill that could recognize crypto as a regulated activity in the country. On Monday, the Financial Services and Markets Bill (FSMB) was approved by the House of Lords, the upper chamber of Parliament, and is now entering the final stages before it is put into law. The 340-page bill was introduced in July to take advantage of Brexit freedoms and give regulators more power over the U.K. financial system. Amendments were added later to treat all crypto as a regulated activity and to supervise crypto promotions.
The U.K. Treasury, the government’s finance arm, has been consulting on rules for the crypto sector. Economic Secretary to the Treasury Andrew Griffith told CNBC in April that new specific rules could come within 12 months. The U.K. is trying to catch up with the European Union, which recently finalized its Markets in Crypto Assets regulation that has a predominant focus on stablecoins.
The FSMB will now be returned to the lower house of Parliament to agree on a final version. Once both houses agree on the document, it will be sent to the King to be approved and passed into law. As Andrew Griffith stated, “The bill can be sent back and forth between the chambers of Parliament until a consensus is reached.”