The deputy governor of the Bank of England said that the consequences of the collapse of the FTX exchange could cause the regulator to need an accelerated release into circulation of the state stablecoin.
Speaking at a forum at the Warwick Business School dedicated to DeFi and digital currencies, Bank of England Deputy Governor Jon Cunliffe stated:
“Over the past few days, I have had several comments both that the collapse of FTX not only shows that we need to work hard and issue a digital pound quickly, but that FTX shows what not to do.”
John Cunliff assured that the Bank of England is actively assisting UK legislators with the release of rules governing the crypto space. The official said that a bill on financial services and markets is now being discussed in Parliament, which could eventually classify cryptocurrencies as financial instruments. This will allow the Bank of England and the rest of the UK regulators to gain more control over the crypto industry. The bill intends to give the central bank the power to regulate large issuers of payments focused on crypto assets such as stablecoins.
Exactly one year ago, Governor of the Bank of England Andrew Bailey and his deputy John Cunliffe took part in a meeting of the Parliamentary Committee on Economic Affairs, where they informed lawmakers about the support of the Bank of England for a possible issuance of a digital pound, as well as settlements using it, which may in the future affect about 20% of all payments in the country.
Source: Bits
I am an experienced journalist, writer, and editor with a passion for finance and business news. I have been working in the journalism field for over 6 years, covering a variety of topics from finance to technology. As an author at World Stock Market, I specialize in finance business-related topics.
