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  • Writer's pictureMike

UK to tighten regulation of cryptocurrencies

The UK authorities have introduced a three-year "Plan to Combat Economic Crime", which provides for measures to strengthen the fight against the use of cryptocurrencies for criminal purposes.

The document developed by the Ministry of the Interior and the Treasury of His Majesty provides for measures to:

  • reduce fraud;

  • money laundering;

  • opposition to kleptocracy;

  • reduce opportunities to evade sanctions.

The authorities noted that most transactions in cryptocurrencies are made in the legal field, however, the pseudo-anonymous and cross-border nature of the assets makes them attractive for illegal transactions.

In 2021, the latter accounted for around 1% of total transactions – £1.24bn – with an upward trend, according to financial intelligence.

The authorities believe that criminals will increasingly use unregulated exchanges and trading platforms for criminal purposes.

“The government will develop ambitious plans to protect consumers and develop the economy by tightly regulating crypto-asset transactions, providing confidence and clarity to both consumers and businesses,” the Plan says.

Comply Legal Team ready to advise you on any issues related to crypto jurisdictions.

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