UK Financial Regulator Warns Investors About 'Clone Firm'

Generally, the FCA has demonstrated a positive regulatory approach towards cryptocurrencies.

Recently, it announced the creation of a global initiative called Global Financial Innovation Network to improve collaboration between regulators and companies on fintech innovations like blockchain.

GFIN aims to consult on various topics, including the regulation of securities and Initial Coin Offerings.

In March, the FCA launched a cryptocurrency task force in collaboration with the Bank of England in order to explore ways to regulate and support expanding crypto technologies.

The regulator introduced a global fintech regulatory sandbox, that allows for innovative fintech development without requiring a full, strict regulatory process for testing.

Last month, the Big Innovation Centre, DAG Global, and Deep Knowledge Analytics released a report, that shows that the U.K. has the institutional and technological resources needed to become a leader in the crypto economic ecosystem within the next few years.

While the study considers the blockchain sector to be in the early stages of development globally, it still finds support at the governmental level.

U.K. housing minister Eddie Hughes called on the government to prioritize the technology's development in order to "enable social freedom, to increase efficiency, and to rebuild societal trust.