The U.K. Treasury announced via Twitter that it is expected that rules for crypto promotion will be in place by late 2023. A draft of the Financial Services and Markets Act amendment was revealed on Monday that would enable the Financial Conduct Authority (FCA) to regulate the crypto industry according to the existing promotion laws in the Financial Services and Markets Act (FSMA).
The intention of the measure is to attempt to protect consumers from potentially deceptive crypto asset promotions, according to the Treasury. The rules include a short-term exemption for crypto firms, giving them the permission to approve their own advertisements rather than relying on an outside party. This could save companies £5,000 to £15,000 ($6,168 to $18,504) depending on the complexity of the advertisement, as noted in a document accompanying the amendment.
The Financial Services and Markets Act amendment will be up for discussion in Parliament soon.
Jack Schickler contributed to reporting.