CRYPTO IN 2023 - the six to watch
We’re still in the early days of 2023, so let’s not swamp ourselves with over-thinking and over-predicting.
Instead, let’s keep it short and simple for now and watch this space as we bring you more information as it comes in the year.
So for now, short and sweet, THE CRYPTO SIX TO WATCH IN 2023
In the UK for this one. The government has announced that it will be bringing forward a consultation to explore the case for a central bank digital currency.
Our 2022 note on this is:
2. Regulation of cryptoassets in the UK
And still in the UK, 2023 will see the introduction of the FSM Bill and its provisions to regulate financial market infrastructure providers and stablecoins.
A government consultation to clarify which other cryptoassets could be brought within the scope of the FSMA regulatory perimeter continues.
Prepare by reading our 2022 note at:
3. Regulation of cryptoassets in the EU
And off to the EU. It’s not only the UK which is regulating crypto. If the delays are over, expect the EU’s Markets in Cryptoassets Regulation (MiCA) to come into force in spring 2023.
4. Sandbox regimes in the UK
The FCA and Bank of England plan to establish a financial markets infrastructure sandbox which will allows its participants to ask for exemptions from existing legislation to facilitate testing of distributed ledger technology in services such as trading and settlement.
Find out more in our short 2022 briefing at:
5. Sandbox regimes in the EU
Not to be outdone, the EU is launching its DLT Pilot Regime Regulation (2022/858) from 23 March 2023. It will provide a safe sandbox environment for companies which want to test solutions using distributed ledger technology and learn how existing rules apply. The regime is focused mainly on shares and debt securities but unit funds are also included.
As for UK and DLT, as well as the note above also look at:
6. Digitisation of trade finance
The UK’s government proposes new legislation that would allow for the legal recognition of electronic versions of trade documents, such as bills of lading and bills of exchange. The draft legislation has had its first and second reading and is currently the subject of a call for evidence.