A panel of UK cross-party lawmakers has called for "unsupported" crypto assets such as Bitcoin and Ether to be regulated as gambling.。The executive body believes this violates standards recommended by global bodies such as the G20 Financial Stability Board.。

"Same activities, same risks"

In a report published in May, the House of Commons Finance Committee argued that unsupported cryptocurrencies lack any intrinsic value or "clear social benefits" and instead bring "huge price swings."。As a result, the commission led by Harriet Baldwin MP has called for digital asset trading to follow the same rules as gambling, according to the Financial Giant.。

However, according to a statement issued by the British Parliament on July 20, Andrew Griffith MP, the UK Treasury's economic secretary, conveyed the government's opposition to the proposal in a letter received by the House of Commons on Friday.。

Griffith noted in the letter that international standards for cryptocurrency regulation are based on the "same activities, same risks, same regulatory outcomes" principle, which calls for expanding the rules imposed on traditional financial institutions such as banks and digital asset companies.。Griffith explained: "The approach proposed by the Commission would therefore run the risk of being inconsistent with international standards and approaches in other major jurisdictions, including the European Union, and could create an unclear and overlapping mandate between the financial regulator and the Gambling Commission.。"

In addition, the economy minister insisted that treating cryptocurrency trading as a gamble may not prevent many of the risks associated with digital asset trading, including market manipulation.。

Griffith asserts that "the financial services regulatory framework is better suited to address the risks of unsupported crypto assets and create the conditions for security innovation."。"This can and will take a number of strong steps to mitigate the consumer risks identified in the Commission's report, including the risk of 'consumers being misled." "。

Cryptocurrency regulation in the UK

Meanwhile, the debate between British lawmakers and government executives continues despite the recent approval of the Financial Services and Markets Act 2023 by King Charles III.。The law classifies cryptocurrency transactions as regulated activities and includes stablecoins in payment rules.。

In addition, the Financial Conduct Authority (FCA), the UK's financial market regulator, is finalizing the country's rules on cryptocurrency marketing and advertising, which are expected to come into effect on October 8 this year.。