The UK government has dismissed the creation of a national digital asset reserve, opting instead for a focused approach to regulation. Economic Secretary Emma Reynolds stated at the FT Digital Asset Summit that the country will not follow the US model, citing a lack of suitability for its own market dynamics. Instead, cooperation with the US on digital assets is prioritized through a dedicated working group of high-ranking officials from both countries. A forum focusing on regulation is planned for June, and efforts are underway to explore issuing sovereign debt using distributed ledger technology, with supplier selection anticipated by summer’s end.
The UK government has published draft rules for the cryptocurrency industry, aiming to establish a regulatory framework for exchanges, stablecoin issuance, and admission/disclosure requirements. This initiative aligns with the Financial Markets Act of 2023, which provides the Treasury with expanded powers in this area. Unlike European countries implementing MiCA regulations, the UK is still developing its own rules. The government emphasizes attracting investment and fostering digital growth through these regulatory measures.
In a notable development, Lomond School in Scotland will become the first private institution to accept bitcoin tuition payments starting in fall 2025. This decision was motivated by requests from parents of students, including international pupils. The school plans to convert cryptocurrency into pounds sterling initially, minimizing currency risk. The initiative represents a groundbreaking step forward for private schools’ adoption of cryptocurrencies.
This move follows the UK government’s recent publication of draft legislation for the cryptocurrency industry and the introduction of new admission/disclosure rules. These regulatory efforts aim to provide greater certainty and consumer protection in this evolving market, while fostering collaboration with the US on responsible growth.