Will Rishi Sunak Play Nice With Crypto in UK Bid to Be Global Hub?

Rishi Sunak

The new British Prime Minister, Rishi Sunak, has sought to once more unite the Conservative Party and to ensure that the country can return to a state of stability – a pursuit that many are supportive of given the haphazard nature of the political landscape in the UK over the past few years.

As a former banker, and someone who is married to one of India’s wealthiest heiresses, there has been much speculation over what Sunak’s attitudes to the world of cryptocurrencies might be, particularly in the face of sterling losing significance on the global stage.

Sunak’s maiden speech

In Sunak’s maiden speech as Prime Minister he reiterated that there are plenty of problems that the country has to contend with, and that he “is not daunted” by what awaits him.

“I will place economic stability and confidence at the heart of this government’s agenda. This will mean difficult decisions to come.”

His attempts to calm the markets, at the very least, are considered to be hugely positive for the country.

Sunak promised to deliver on the manifesto pledges that meant the Conservative Party was elected into government in 2019, and he will continue to attempt to calm the markets by paying down government debt, and not passing on this debt to future generations.

Sunak endorsed CBDCs whilst Chancellor

Unfortunately, despite his support for enhanced stability in the UK, Sunak’s time as Chancellor of the Exchequer was marked by a period in which the economy suffered enormously thanks to the lockdown policy. It is alleged that he opposed many of these measures whilst in office, but was bound by ministerial responsibility given that he was a member of the Cabinet during this time.

Moreover, and perhaps more concerning for the cryptocurrency industry, is the fact that Sunak seems intent on maintaining the fiat status quo in as much as he can, and has not only endorsed CBDCs but announced that he was working with the Bank of England to establish “Britcoin”.

As explained by Dan Tubb and James Delingpole, there is nothing remotely innovative about CBDCs other than that they open the door for dystopia. Renowned economist Saifedean Ammous has spoken about the way in which CBDCs are simply a reimagining of the current fiat system but with far more potential for mismanagement and dystopia given the affront to individuals’ property rights and the total lack of privacy; CBDCs are some of the most blatant manifestations of Mises’ central planning of money, and are strongly at odds with both conservative values and the aforementioned manifesto of consistency.

Matt Hancock is a strong supporter of crypto

However, there are MPs in the House of Commons who have professed an interest in the world of cryptocurrencies.

Most notably, Matt Hancock (notorious not only for being the Health Secretary during lockdown) has spoken about the benefits that cryptocurrencies can bring to the UK, and the benefits that would come with making the UK a global crypto hub.

Hancock’s brother has several investments in his own fintech and cryptocurrency companies, although it is understood that Matt himself does not have any investments in these.

Nevertheless, he has made several speeches to the Commons about the benefits of the industry and has attended a variety of events with industry leaders to champion the movement.

Unfortunately, he was noticeably snubbed yesterday by Sunak after the new Prime Minister was declared, meaning that his efforts may be less impactful than one might have hoped.

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