UK's Crypto Agenda Won't Be Derailed by FTX Collapse, Minister Says

U.K. Economic Secretary Andrew Griffith reiterated the country's commitment to becoming a key center for the crypto industry, saying the collapse of FTX isn't a reason to change course.

"We’re driving forward this agenda, and I continue to chair the crypto-engagement group to hear from industry and share progress," Griffith said at TheCityUK’s National Conference in Edinburgh, Scotland, on Thursday. "Yes, there are questions about the future of crypto, but we’d be foolish to ignore the potential of the underlying technology."

His predecessor, John Glen, set out the U.K.'s crypto ambitions in April, when Rishi Sunak, now the prime minister, was chancellor of the Exchequer under then-Prime Minister Boris Johnson. Glen resigned in July as ministers deserted Johnson's government, but he' is back as chief secretary to the Treasury. Since the demise of crypto exchange FTX last month, lawmakers have become more skeptical, and the industry has had to field questions in Parliament.

"For me, recent events in the crypto market reinforce the case for timely, clear and effective regulation," Griffith said. "The Financial Services and Markets Bill already enables us to establish a framework for regulating crypto assets and stablecoins in the U.K., and we will be consulting on a world-leading regime for the rest of the crypto-asset market later this year."

Read more: UK Lawmakers Vote to Recognize Crypto as Regulated Financial Instruments