Representatives from the City of London and five other national financial associations formed an alliance to “develop better policies, practice, and regulation around digital currencies.”
The City of London Corporation led the United Kingdom Forum for Digital Currencies (UK FDC), an alliance of five major national financial associations. The organization seeks to develop innovative financial blockchain technologies at the national level to solidify the UK’s position as a global financial center.
More specifically, the UK FDC plans to develop “the potential” for a central bank digital currency (CBDC) and help establish a regulatory framework for stablecoins and “other variable value crypto-assets.” Moreover, its members plan to conduct research and development on blockchain innovations, run their own crypto projects and education programs, and raise investment in the crypto industry in the UK.
The association includes:
- City of London Corporation;
- Digital Pound Foundation;
- The Payments Association;
- TheCityUK;
- UK Finance.
Participants of the UK FDC also intend to “increase mutual understanding” between representatives of the financial services sector of the United Kingdom and the cryptocurrency industry. To this end, they plan to create a unified crypto vocabulary — “the development of common terminology which embraces existing definitions used in the sector into a single lexicon.”
It’s worth noting that the crypto industry’s interests in the United Kingdom are already represented by the CryptoUK trade association, with more than 150 members, including the world’s largest crypto companies, and the British Blockchain Association (BBA), which brings together research groups at major universities around the country and members of the academic community worldwide.
Recall that the UK government announced plans to create a global cryptocurrency hub in April 2022. In the summer, the first draft of the law on financial services and markets was presented, which included a legislative basis for stablecoin regulation.
