UK Trade Associations Urge Strategic Focus on Crypto and Blockchain

According to Cointelegraph, several British trade associations have called on Prime Minister Keir Starmer to appoint a special envoy dedicated to cryptocurrency and develop a comprehensive action plan for digital assets and blockchain technology. In a letter dated March 31, a coalition of six UK digital economy trade bodies appealed to Varun Chandra, Starmer’s special adviser on business and investment, for a more strategic approach to foster investment, growth, and job creation within the crypto industry. The coalition, comprising the UK Cryptoasset Business Council, Global Digital Finance, The Payments Association, Digital Currencies Governance Group, the Crypto Council for Innovation, and techUK, highlighted the United States' policy shift under U.S. President Donald Trump, who appointed a crypto czar. They emphasized that Britain's commitment to an economic trade deal focused on technological cooperation with the US offers a significant opportunity to emulate the United States' ambition in leading blockchain, digital assets, and other emerging financial technologies. The trade bodies recommended that the UK appoint a blockchain special envoy to coordinate policy, encourage innovation, and enhance the country's competitive position in global markets. Additionally, they urged the development of a government action plan for crypto and blockchain technology, including a concierge service to attract high-potential firms. The coalition also suggested that the government recognize and utilize the synergies between blockchain, quantum computing, and artificial intelligence technologies, particularly in potential applications for government services. Another proposal was to establish a high-level industry-government-regulator engagement forum to facilitate informed decision-making and cross-sector collaboration. The UK crypto and tech associations are lobbying the government for a policy shift, arguing that crypto and blockchain technology could significantly boost the UK economy by 57 billion British pounds ($73.6 billion) over the next decade. They also projected that the sector could increase global gross domestic product by 1.39 trillion pounds ($1.8 trillion) by 2030. Tom Griffiths, co-founder and managing partner of crypto compliance advisory firm BitCompli, responded to the letter on LinkedIn, stating that the Financial Conduct Authority possesses considerable talent and foresight but warned that the UK is losing ground to jurisdictions like Dubai, Singapore, and other EU countries. Griffiths emphasized the urgency for the FCA to act, cautioning that the UK risks missing out on the substantial opportunities presented by digital assets and the benefits they could bring over the next 20 years.