Treasury Committee launches inquiry into cryptoassets

The Treasury Committee has launched a new inquiry into cryptoassets. The inquiry will cover the opportunities and risks that cryptoassets may bring to consumers, businesses and the government. It will also examine the potential impact of DLT on financial institutions and the regulatory response to cryptoassets from the government, the FCA and the BoE.

The Committee has asked for written evidence on various issues, including:

• the extent to which cryptoassets when used as digital currencies (eg Stablecoin) are likely to replace traditional currencies;
• what opportunities and risks the introduction of a BoE digital currency may bring;
• whether the government and regulators are suitably equipped to grasp the opportunities presented by crypto, whilst simultaneously mitigating against the risks;
• what opportunities and risks the use of cryptoassets, including NFTs, may pose for individuals, the economy, and the public and private sectors;
• how DLT can be applied in the financial services sector;
• to what extent the regulatory measures introduced by the government, eg around advertising and money laundering, have been effective in increasing consumer protection; and
• how overseas governments and regulators are approaching cryptoassets and what lessons the UK can learn from them.

The deadline for submitting written evidence to the inquiry is 12 September 2022.