FCA calls for weighted regulation of the crypto market, and an African economist says cryptocurrency has come to stay
The chair of the British regulator announces the need for a balanced approach to control over the crypto market
The chairman of the UK Financial Conduct Authority, Charles Randell, believes that it is necessary to improve the quality of protection of the rights of citizens who are not fully aware of the risks associated with investing in digital assets. However, the head of the FCA believes that it is important not to go to extremes.
Randell pointed out that excessive regulation can create unrealistic expectations regarding the protection of the interests of crypto investors. And the owners of such assets need to be within the reach of the regulator.
“Obviously, due to the decentralized way of creating speculative tokens, we will need access to the company and its team. That way we can monitor and enforce our requirements,” Randell explained, stressing that the FCA will not register companies that cannot provide data on business structure and governance.
Economist: Cryptocurrencies came to stay
Gospel Obele, an economist from Nigeria, is confident that it is time to create uniform rules for regulating crypto assets that could complement the digital currencies of central banks. The expert pointed out that some African regulators are only planning to develop their own cryptocurrencies, while private digital assets are already being used in international transfers.
With the introduction of clear rules for controlling the industry, crypto-assets can become an alternative to state digital currencies. And this will help simplify trade between countries, the economist said. For example, BTC is very popular in Nigeria due to a serious shortage of foreign exchange.
“Cryptocurrency has come to stay. So we need to go back to the fundamentals to get things right to be part of the crypto revolution,” Obele said.