Post-Brexit, cryptocurrencies such as bitcoin should be embraced by Britain’s financial services sector if the country is to avoid a recession, according to the CEO of one of the world’s largest financial advisory organisations.
Nigel Green, CEO of deVere Group argued that Britain was at serious risk of a recession as Brexit loomed, with the financial services industry – a vital part of the country’s economy – facing a loss of investment.
However, he said that cryptocurrencies could provide the solution to the country’s Brexit woes as a UK free from European legislation would be better placed to embrace the emerging industry than its European neighbours.
“London is – for the time being at least – the world’s largest and most important financial hub. But its dominance is fading as Brexit-Britain flounders in uncertainty,” said Green.
“The growing cryptocurrency market has already provided tangible economic benefits to other major economies. Post-Brexit Britain will be uniquely placed to go even further and by embracing it, it could reboot the UK’s financial services sector.”
The case for post-Brexit cryptocurrencies
For Green, cryptocurrencies such as bitcoin provide opportunities for the UK financial services sector to redefine its edge.
“I believe cryptocurrencies could and should dramatically help change the fortunes of Britain’s beleaguered financial services industry,” he said.
“Once outside of the EU, the UK will not be beholden to the bloc’s notoriously slow and burdensome bureaucratic protocols. It could promptly establish its own rules and regulations and set-up an innovative, pro-business, well-regulated market.
“This could position it alongside other crypto-friendly jurisdictions such as Japan and Switzerland – and ahead of many EU member states.”
He also argued that cryptocurrencies were set to become an increasingly dominant part of the world of finance – with major organisations such as Facebook and JP Morgan already investing in the field.
“Cryptocurrencies – which are digital, global and borderless – are unquestionably the future of money. This is noted by the growing amount of retail and institutional investment into the burgeoning sector,” he said.
“Whilst other jurisdictions focus on the current, the UK should set its sights on the future to be ahead of the game.”
He also argued that the UK was already well-placed to embrace post-Brexit cryptocurrencies, due to its combined might in both fintech and blockchain.
“UK is already a thriving global fintech and blockchain hub. This should be capitalised on further.”