Coinbase CEO Brian Armstrong recently met with senior UK policymakers at 10 Downing Street to support the UK's efforts to clarify and enhance crypto regulations, aiming to position the country as a global leader in digital assets. Armstrong emphasized the importance of this pivotal moment for the UK’s digital asset industry, expressing optimism about Britain's potential to become a top crypto hub.
The engagement follows Coinbase’s recent registration as a Virtual Asset Service Provider (VASP) in the UK, marking a significant milestone in the firm's international expansion. The UK government is actively developing comprehensive legislation to regulate the cryptocurrency sector, including rules that will require crypto service providers to collect and share user and transaction data with HMRC to improve tax compliance and transparency.
Approximately 12% of UK adults now hold cryptocurrencies, prompting regulators to ensure user protection, build trust, and attract crypto businesses by offering regulatory clarity. Armstrong and his team’s advocacy aligns with these regulatory efforts, emphasizing that clearer legislation could increase institutional investment and fintech growth in the UK. This initiative mirrors successful frameworks such as the EU's MiCA regulation that have historically boosted market confidence and trading volumes.