The new UK government formed by Liz Truss has pledged to embrace opportunities around cryptocurrency.
The Financial Services and Markets Bill saw its second reading in Parliament this week and will now be examined at the committee stage in Westminster.
The bill is intended to help regulators govern crypto used for payments like stablecoins.
Richard Fuller, the Economic Secretary to the Treasury, said the government wants the UK to be the “dominant global hub for crypto technologies”.
Speaking of “powerful” use cases for cryptocurrency and blockchain technology, including customs, international trade and the storing of medical records, Alexander Stafford said the Prime Minister – sworn in on Tuesday following the resignation of Boris Johnson – “reaffirmed” her commitment to crypto.
“As crypto technologies grow in significance, the UK government are seeking ways to achieve global competitive advantage for the United Kingdom,” said Fuller.
“We want to become the country of choice for those looking to create, innovate and build in the crypto space.
“By making this country a hospitable place for crypto technologies, we can attract investment, generate new jobs, benefit from tax revenues, create a wave of groundbreaking new products and services, and bridge the current position of UK financial services into a new era.”
The Economic Crime (Transparency and Enforcement) Act, which will grant new powers for the seizing of cryptoassets to law enforcement, will also continue.
“The UK can either be a spectator as this technology transforms aspects of life, or we can become the best place in the world to start and scale crypto technologies,” said Fuller.
“We want the UK to be the dominant global hub for crypto technologies, and so will build on the strengths of our thriving FinTech sector, creating new jobs, developing groundbreaking new products and services.”