New UK PM Liz Truss Once Said This on Cryptocurrency. What to Expect?

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Mary Elizabeth Truss (Liz Truss) becomes the third female to serve as the Prime Minister of the United Kingdom. She will be appointed as PM by Queen Elizabeth II on September 6. With that, the reign of former PM Boris Johnson has ended today. Expectations over reforms such as tax cuts, energy crises, and other long-term issues for economic growth have heightened with Truss taking the charge of UK. Notably, the cryptocurrency market also believes that Truss' new role could drive digital assets and bring in policy changes that don't constrain their potential.

In 2018, way before being a United Kingdom PM, Truss made positive remarks on cryptocurrencies in her tweets.

She tweeted on January 30, 2018, "we should welcome cryptocurrencies in a way that doesn't constrain their potential." To drive the potential of cryptocurrencies, Truss had suggested liberating free enterprise areas by removing regulations that restrict prosperity.

The leader of the Conservative Party has been serving as the Secretary of State for Foreign, Commonwealth, and Development Affairs since 2021 and Minister for Women and Equalities since 2019. She has taken Cabinet roles under Prime Ministers David Cameron, Theresa May, andBoris Johnson.

She won the election after beating rival Rishi Sunak, the former Chancellor of the Exchequer.

What does Liz Truss appointment as UK PM means for cryptocurrencies?

Dileep Seinberg, Founder & CEO, MuffinPay, Bill Payment & Utility Crypto said, "Liz Truss, the newly elected Prime Minister of the UK, gave her thumbs up to the cryptocurrencies in 2018, but we should wait for her latest stance as it’s been four years. Furthermore, she is responsible for serving the expectations of her fellow citizens and representing a nation at global forums. There is a lot more to go, and we are hopeful that something positive will emerge in the days to come.

However, Seinberg also added, "her election to represent the UK will likely boost the government's agenda for digital assets. She might be at the forefront & emerging as the new voice of crypto-led discussions at the global level, and the UK, a prominent G-20 Nation, may lead in the direction."

Further, Seinberg said, "Truss has been an anti-regulatory personality at the core of crypto assets. If she walks the talks as per what she said earlier, the UK may emerge as the crypto or Web3.0 capital of the world. If Truss had a vision, she would take it as a mission."

"A friendly and comprehensive approach might be on the platter in the coming days," he said.

Crypto market updates

On Monday, the global cryptocurrency market is trading on a positive note currently in both valuations and volume terms. Bitcoin and Ethereum, the giants of the market, were also in the green.

At the time of writing, the global market cap is around $982.95 billion up by 0.75% over the last day. Meanwhile, the total crypto market volume climbed 18.70% to $53.27 billion over the last 24 hours, as per CoinMarketCap. Bitcoin is near $19,900 and advanced nearly 1% in 24 hours. While Ethereum surged over 3% and is performing at a little over $1,600.

The cryptocurrency market is a unique platform for investments with great potential. Both private and public sectors are warming up towards cryptocurrencies as they accelerate a revolution in financial services. They have been gaining momentum in terms of trading, investments, buying and selling goods, and lending among others.

However, regulatory norms along with a lack of clarity in terms of data and management -- are some of the drawbacks. Cryptocurrencies are highly risky compared to other regulated market-related instruments, and sensitive driven.

At present, as per CoinMarketCap data, there are 20,865 cryptocurrencies with 525 exchanges.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.