header-logo header-logo

Crypto pressures

03 December 2021 / Daniel Alexie , Gelu Maravela
Issue: 7959 / Categories: Features , Profession , Cyber
printer mail-detail
66017
Could digital currencies be a catalyst for a financial disaster? Gelu Maravela & Daniel Alexie report
  • Devising a regulatory regime for cryptoassets in the UK, the US, or in other major jurisdictions, will be an incredibly complex process that will take considerable time to implement.

In October 2021, one of the deputy governors of the Bank of England (BoE), Jon Cunliffe, gave a speech in which he identified the ‘justifiable and growing concerns around investor protection, law enforcement and market integrity’ in relation to cryptocurrencies. Mr Cunliffe then proceeded to outline ‘a plausible scenario’ which involved ‘a massive collapse in the price of unbacked cryptoassets’.

To mitigate against such an event, the deputy governor referenced calls made by securities regulators on both sides of the Atlantic such as the CEO of the Financial Conduct Authority and the chair of the US Securities and Exchange Commission—that there is a need for regulation as a ‘matter of urgency’.

Similar warnings have been issued by prominent US figures. Among them the Treasury Secretary, Janet Yellen,

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

CBI South-East Council—Mike Wilson

CBI South-East Council—Mike Wilson

Blake Morgan managing partner appointed chair of CBI South-East Council

Birketts—Phillippa O’Neill

Birketts—Phillippa O’Neill

Commercial dispute resolution team welcomes partner in Cambridge

Charles Russell Speechlys—Matthew Griffin

Charles Russell Speechlys—Matthew Griffin

Firm strengthens international funds capability with senior hire

NEWS
The proposed £11bn redress scheme following the Supreme Court’s motor finance rulings is analysed in this week’s NLJ by Fred Philpott of Gough Square Chambers
In this week's issue, Stephen Gold, NLJ columnist and former district judge, surveys another eclectic fortnight in procedure. With humour and humanity, he reminds readers that beneath the procedural dust, the law still changes lives
Generative AI isn’t the villain of the courtroom—it’s the misunderstanding of it that’s dangerous, argues Dr Alan Ma of Birmingham City University and the Birmingham Law Society in this week's NLJ
James Naylor of Naylor Solicitors dissects the government’s plan to outlaw upward-only rent review (UORR) clauses in new commercial leases under Schedule 31 of the English Devolution and Community Empowerment Bill, in this week's NLJ. The reform, he explains, marks a seismic shift in landlord-tenant power dynamics: rents will no longer rise inexorably, and tenants gain statutory caps and procedural rights
Writing in NLJ this week, James Harrison and Jenna Coad of Penningtons Manches Cooper chart the Privy Council’s demolition of the long-standing ‘shareholder rule’ in Jardine Strategic v Oasis Investments
back-to-top-scroll