Crypto Regulatory Clarity In U.K.

It is a well-known fact that for cryptocurrencies to reach mainstream adoption it has to deal with regulations which has been very difficult to achieve since most regulators find it hard to classify the very new idea of digital assets as well as determine if it is being used for illicit activities.

Part of the problem stems from the negative perception cryptocurrencies has gotten over the years as a form of money that is mostly tied to illicit activities such as money laundering, terrorist financing and Tax evasion.

Those who understands the technology and takes the time to engage and learn more about the emerging asset class sees it in a different light; it is a revolutionary monetary system that could disrupt how we transfer value.

Governments like the United Kingdom is beginning to understand that it is an unstoppable movement and forced to give regulatory clarity in the space, which it has by tasking the Financial Conduct Authority to investigate and present recommendations about the burgeoning assets.

Now the financial watchdog as officially recognized Ripple XRP as a utility token to bring it at the same ranks as Bitcoin (BTC) and Ethereum (ETH) that was labelled the same, this means that it won’t be subject to more regulatory scrutiny that would have resulted in a sell-off if it had been deemed as a security token.