UK lawmakers have proposed a new law that could pave the way for tougher measures on crypto following the election of Prime Minister Liz Truss, who previously commented about freeing the industry from overly strict regulations.
According to the UK Information website, the Economic Offenses and Corporate Transparency Bill primarily target The move comes amid the government’s plans to turn the UK into a global hub for crypto investments to drive dirty money out of the country and allow legitimate businesses to flourish.
If approved, the law would enable law enforcement to compel businesses to submit information related to money laundering and terrorist financing. It will also empower authorities, including the National Crime Agency, to seize, freeze and recover crypto assets.
The bill calls for more stringent controls of digital coins as criminal organizations use the new asset class to launder the proceeds of illegal activities, including drugs and cybercrime.
“The use of this digital currency has increased significantly in recent years, with the Metropolitan Police reporting a large increase in cryptocurrency seizures last year. Strengthening the powers in the Proceeds of Crime Act will modernize the law to ensure that Agencies can rapidly keep pace with technological change and prevent assets from piling up further criminality.”
Legislators propose new measures after Truss’s election, whose past statements show he is pro-crypto. In 2018, he shared his view on restrictive crypto regulations.
“We must welcome cryptocurrencies in a way that does not inhibit their potential. Liberate free enterprise zones by removing rules that restrict prosperity.”
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