28. November 2023

• UK MP Andrew Griffith spoke before a hearing of the U.K. parliamentary Treasury Committee about payments technology and CBDC
• A wholesale stablecoin and Financial Markets Infrastructure (FMI) sandbox are included in the Financial Services and Markets (FSM) bill
• A consultative paper on CBDC will appear in weeks, not months, followed by a period of dialogue with stakeholders

The United Kingdom is continuing its commitment to becoming a world leader in the crypto industry, as evidenced by Member of Parliament and HM Treasury Economic Secretary Andrew Griffith’s speech to the U.K. parliamentary Treasury Committee. Griffith’s comments addressed payments technology, CBDC, and how a wholesale stablecoin will be included in the Financial Services and Markets (FSM) bill.

Griffith discussed the potential introduction of a central bank digital currency (CBDC) and how a stablecoin could be a first use case on the way to its potential introduction. He noted that it is unclear whether a CBDC would displace private stablecoins on the market if a CBDC were introduced. Griffith also noted that a retail British CBDC, if one were to be introduced, would be an anonymized and intermediated platform by design.

In the near future, a consultative paper on CBDC will be released, to be followed by a period of dialogue with stakeholders. This paper is set to be released in weeks, not months, and will be the next step in the process of the U.K. becoming a world leader in the crypto industry.

In addition to the introduction of a wholesale stablecoin and the FMI sandbox, the U.K. has also been pushing forward with crypto efforts through financial services reforms. This includes the setting up of a Cryptoassets Taskforce to ensure the U.K.’s crypto-related activities are conducted in a safe and responsible manner.

The U.K. is continuing its mission to be a world leader in the crypto industry, and with the implementation of the FSM bill, a consultative paper on CBDC, and the setting up of the Cryptoassets Taskforce, it looks well on its way to achieving its goal.