Myan Crypto on Binance Feed: Crypto is not gambling. What happened in the UK?

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TLDR:

UK minister rejects gambling regulations for crypto-assets

He says it would be misleading, risky and inconsistent with global standards

UK plans to regulate stablecoins separately from unbacked cryptocurrencies

Article:

The UK government does not want to treat crypto-assets as gambling. Financial Services Minister Andrew Griffith says it would be a bad idea for several reasons. He says gambling regulations would make people believe that crypto is safer than it actually is. He warns that crypto investors can lose all their money in the unpredictable market.

He also says that regulating gambling would go against the rules that other countries and organizations set for crypto. He mentions the International Organization of Securities Commissions (IOSCO) and the G20 Financial Stability Board (FSB) as examples of groups that set standards for the crypto industry. He adds that regulating gambling would lead to confusion and conflict between different regulators in the UK. He says financial regulators and the Gambling Commission would have overlapping roles and responsibilities.

The UK wants to be a leader in crypto and blockchain technology. However, he also wants to make sure the sector is safe and stable. The European Union has already established a set of rules for crypto-asset trading, which will begin in 2024. But UK gambling law does not consider buying or selling cryptocurrencies as gambling. The UK’s gaming watchdog has previously looked into a fantasy sports company called Sorare, which uses cryptocurrency to buy and sell digital cards of sports stars. The watchdog wanted to know if the game was a bet.

The UK is working on rules for stablecoins, which are cryptocurrencies that have a fixed value. These rules will be different from the rules for unbacked cryptocurrencies like bitcoin and ether, the value of which can change a lot. The UK government is still trying to find a way to regulate crypto-assets in a way that supports innovation and protects consumers.

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