16 May 2022 15:29, UTC
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In the United Kingdom, during a recent speech by Her Majesty Elizabeth II, Prince Charles announced the introduction of a bill aimed at combating illicit financing in order to reduce crime. Among other things, according to local media reports, the document envisions making stabelcoins legal tender.
The United Kingdom’s (Her Majesty’s) Treasury Department is seriously considering legalizing stabelcoins. Such a statement from the royal family sparked a storm of discussion among crypto-entrepreneurs. Undoubtedly, almost the entire community reacted positively to this news, but the digital industry is still very concerned about the recent collapse of Terra UST. The collapse in the value of such a popular asset has greatly affected the general mood of the market.
The Telegraph, directly referring to the Queen’s statement notes that the submitted bill would transfer the right to regulate the crypto industry throughout the state to the Treasury Department. Prince Charles, by the way, the intentions of the ruling family to legalize stabelcoins in no way connects with the desire to strengthen the importance of the digital industry in the country. According to him, the new status for stablcoins will help significantly protect businesses from financial crime, as well as significantly improve the standard of living in the region.
“The bill will be aimed at reducing crime, combating economic crime and supporting businesses,” Prince Charles added.
The business publication Cointelegraph did its own research on the issue and found that, among other things, the document submitted by the royal family proposes changes to the regulatory framework governing cryptocurrencies. In particular, it talks about the inclusion of stabelcoins in the list of legal tender.
Perhaps, experts suggest, such a sharp interest in the digital industry was provoked by the fall of USDT and LUNA. While the crypto-community is discussing the recent events around the above-mentioned coins, the British authorities, on the contrary, are trying to increase the level of trust in virtual money. This is evidenced not only by the ruling family’s creation of the aforementioned bill, but also by official statements by members of the government.
“Britain has demonstrated and will continue to demonstrate that the local financial services sector has always been at the epicenter of modern technology and innovation,” said Chancellor Rishi Sunak.
It’s worth adding that after research, analysts found several pitfalls in the bill. So, it turned out that the document provides for the legalization of not all stabelcoins, the list of the proposed virtual currencies does not include the so-called algorithmic assets. In his statement, Prince Charles meant only those coins that are secured by fiat money in the ratio of 1 to 1. That is, if the bill is passed, only stabelcoins such as Tether (USDT) or USD Coin (USDC) could become legal tender.
“Making significant changes to crypto legislation will be just one part of the Financial Services and Markets Bill promoted by Queen Elizabeth II,” the Treasury Department stressed.
As a reminder, we previously reported that in mid-April, the Terra token was among the top three most popular and used stabelcoins.
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