2022 might have proved a rocky year for a multitude of reasons for the British economy and that of the British Overseas Territories, but despite – or perhaps even because of – this, the country has continued to experience growth in crypto adoption this year.
This is according to a recent report in the Evening Standard, which referred to research undertaken by an American blockchain analysis firm.
The research found that the recent decline in the value of the pound could be helping to persuade many investors of the wisdom of putting some of their money into cryptocurrencies such as Bitcoin.
This, the blockchain business said, may – combined with such factors as London’s thriving tech scene and world-class financial institutions – help to explain why the UK ranks 17th globally for crypto adoption since the start of 2022. It is a four-place improvement on the situation in 2021.
The UK’s increasing prominence among international crypto destinations
The newspaper noted that the UK’s 17th position for crypto adoption made it the only high-income country to appear in the top 20, other than the United States.
The majority of other countries that fared strongly in the rankings were emerging markets with more volatile currencies and capital controls. Vietnam was top of the list, followed by the Philippines and Ukraine.
Just below half of the UK’s crypto activity is related to decentralised finance – also known as ‘DeFi’ – which refers to financial services carried out with the use of blockchain technology.
Allow us to help you get the best out of your crypto involvement
The crypto space is continuing to evolve in the UK, including from a regulatory perspective. New rules are being formulated in the country for crypto taxation, with the Financial Services and Markets Bill – which is presently being reviewed by a committee – set to integrate crypto assets into the mainstream financial sector.
The Bill expands the scope of regulation to include stablecoins, thereby opening up a route for their use as a recognised form of payment in the UK.
Here at TAG Consultancy in Gibraltar, meanwhile, we are pleased to be continuing to provide leading-edge blockchain advisory, DLT licensing, and compliance crypto services, to allow businesses to engage effectively with crypto in the British Overseas Territory.
For further information and advice about how our specialised and expert solutions could support your Gibraltar business’s growth, and to arrange a free consultation, please do not hesitate to enquire to our professional and capable team today.