The cryptocurrency market in the U.K. has gotten a lot clearer on Monday, as cryptocurrencies were officially recognized as tradable property.
The decision is a result of an industry-led effort by the Lawtech Delivery Panel (LDP), a government-backed initiative working to improve the British tech industry.
A specialized task force of senior judges and lawyers in the U.K. has recognized crypto-assets as “tradable property” under English law.
The 46-page legal statement, which clarified the status of cryptocurrencies, blockchain technology, and smart contracts, is the country’s effort to reintroduce confidence to the British crypto market.
Cryptocurrency gets a face in Britain
According to the 46-page legal statement, cryptocurrencies, or “cryptoassets,” are tradable property. The statement also recognized smart contracts as valid agreements that are enforceable under local British law, an important distinction that could open up a myriad of new applications for blockchain technology.
With the World Economic Forum predicting that 10 percent of the global GDP will be stored on the blockchain by 2027, efforts like the one undertaken by the U.K. Jurisdiction Taskforce show that new technologies are being embraced at a rapid pace.
The overwhelmingly positive sentiment when it comes to fintech and crypto businesses in the country also seems to be resilient to the uncertainty surrounding Brexit.
Earlier in September, the country’s capital, London, became the world’s most active fintech hub by the number of fundraising deals. This makes it a fertile ground for crypto and blockchain innovation, as there seems to be plenty of optimism in the market.