A far-right UK political party is claiming that the nation’s cryptocurrency policy is basically non-existent.
The National Liberal Party (NLP) says that the UK government’s stance on regulating crypto assets has not been effective.
According to the National Liberal,
“The current [cryptocurrency] policy is a non-policy. While our government professes to abhor organized crime and money laundering, it takes a hands-off approach to organized crime firms using cryptocurrency, many of them based in Eastern Europe. The sheer volume of transactions makes this a national security threat.
The growth in such currencies has gone hand in hand with the theft and fraud of them but without any recourse for victims.”
The political party claims organized crime organizations have been using the Crown’s .io domain and the Companies House shell companies to orchestrate many fraudulent crypto schemes without getting caught or being held accountable.
NLP’s members point out that the existing policy of the UK’s financial regulator, the Financial Conduct Authority (FCA), is “troubling.” The policy states,
“Consumers should be mindful of the absence of certain regulatory protections when considering purchasing unregulated cryptoassets.”
The FCA’s warning specifically mentions that unregulated digital assets such as Bitcoin (BTC), Ether (ETH) and XRP are not covered by the UK’s Financial Services Compensation Scheme. Local residents will not have any recourse to the Financial Ombudsman Service, the notice states.
The NLP says none of the UK’s major political parties have made an effort to create a practical digital currency platform. UK’s Conservative party reportedly believes there needs to be some type of crypto regulations; however, there’s currently a lack of proper framework.
Labour Party members claim that most cryptocurrencies are Ponzi schemes and recommend banning them, according to Shadow Home Secretary Diane Abbot.
The NLP also claims that it’s “the only UK political party to offer a coherent platform on cryptocurrency.” Its members argue that crypto assets are here to stay and provide a legitimate alternative to the traditional financial system.
However, NLP’s members strongly suggest that the criminal use of cryptocurrencies should be strictly punished. Victims of these crimes should also be compensated for their losses through a fund established by local crypto businesses.
“[We] stand for the future of finance and integrity. We must make the effort to understand new financial technology, not ignore or seek to destroy them.
Cryptocurrency and the vast financial transactions involved can supply wealth, capital and jobs if only we take the time to understand and cultivate it in a responsible fashion.”