Hi ascorbic. Thanks for pointing us in the direction of the FCA, it’s good to get as many opinions on this as possible. Yes, we have consulted a lawyer specialising in English financial services regulation, as well as closely reading the FSMA Act 2000. I agree that bitcoin isn’t a ‘no-rules’ money, but I disagree that there is no difference in the requirements. This is because bitcoin and other digital currencies are not specified investments under FSMA (the relevant section of FSMA is 22). In our opinion it would be good for digital currencies if they were a specified investment, but currently they are not, and therefore they are not subject to the same regulations as cash or other traditional financial instruments. If you think I’m wrong please push back. This is an important point to clarify not just for us but other businesses in this space.
