The UK just approved ClearToken to launch a new platform that lets big financial institutions trade and settle cryptocurrency transactions in a regulated way. This is a pretty big deal because it shows the country is serious about bringing digital assets into the mainstream financial system.
ClearToken got the thumbs up from the Financial Conduct Authority to run their settlement platform called CT Settle, which uses something called Delivery versus Payment. Basically this means institutions can now trade stablecoins, regular currencies, and crypto assets without worrying as much about getting screwed over by counterparty risk.
The company became the 57th firm to get approved under the UK’s crypto register that started back in January 2020. Niki Beattie, who chairs ClearToken, said this approval should help speed up how fast institutions start using digital assets because it removes a lot of the barriers they were worried about.
This news came right after the Bank of England started talking about new stablecoin rules they’re planning to roll out next year. The governor, Andrew Bailey, has apparently softened his stance on stablecoins, which is interesting because he used to be pretty skeptical about them.
The UK government also recently opened up crypto exchange-traded notes to regular retail investors, which shows they’re really trying to make digital assets more accessible to everyone, not just the big players.
Conclusion
The UK’s approval of ClearToken marks a major step toward regulated institutional crypto trading, signaling stronger government support and growing integration of digital assets into the mainstream financial system.
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