Coinbase CEO Advocates for UK as a Global Crypto Hub
By: Isha Das
Coinbase CEO Brian Armstrong has been spotted at 10 Downing Street in London, engaging in discussions with senior policymakers as part of the United Kingdom's efforts to create a structured framework for cryptocurrency regulations. During this visit, which Armstrong announced through a post on X, he expressed his optimism for Britain to solidify its position as a global leader in the crypto space. Although details of the meetings remain scant, Armstrong's presence underscores Coinbase's strategic focus on expanding its influence in more open crypto markets outside the United States.
Coinbase has already made significant inroads in the UK by obtaining a Virtual Asset Service Provider (VASP) registration, becoming one of the leading officially recognized crypto service providers in the nation. This recognition aligns with the UK's broader plans to create a robust regulatory environment for cryptocurrencies. Recently, the Financial Conduct Authority (FCA) revealed that approximately 12% of UK adults now hold crypto assets, prompting policymakers to draft comprehensive legislation aimed at ensuring transparency and control within the industry.
Among the new regulations, set to take effect by 2026, crypto service providers will be required to collect and share user and transaction data with His Majesty's Revenue and Customs (HMRC), promoting greater tax compliance and oversight. These measures are seen as essential to fostering trust, protecting users, and enticing crypto businesses to operate within a well-defined regulatory landscape.
The developments in the UK run parallel to preparations for the launch of crypto Exchange Traded Products (ETPs), as institutional investors prepare for the UK's regulatory green light. Digital asset manager WisdomTree notes that there is significant interest from institutional investors, representing retail clients, to acquire crypto ETPs once FCA approvals are secured. This momentum reflects a widespread anticipation of the UK's evolving regulatory environment paving the way for broader adoption and investments in crypto assets.
