Following the resignation of several ministers and the lack of support from his party, Boris Johnson has announced his resignation. Will this have any effect on crypto?
The British Prime Minister, Boris Johnson will make his resignation public on Thursday, July 7. The premier wrote his resignation letter yesterday and has contacted Queen Elizabeth II to announce his resignation. British media have reported that the prime minister will appear at 10 Downing Street at some point to make his resignation public.
Boris Johnson's power has been severely eroded after more than 50 members of his government (MPs, secretaries of state, ministers, etc.) handed in their resignations yesterday in protest against the management and scandals linked to the leader of the Conservative Party.
However, the hardest blows were the resignations of some of his ministers. Particularly, those of Rishi Sunak and Sajid Javid, Ministers of Economy and Health, respectively.
Finally, after a conversation with the leader of the 1922 Committee, Graham Brady, Boris Johnson resigned. However, the premier He will remain in office and at 10 Downing Street until his party can choose a new leader, which will have to wait until at least October.
How will Boris Johnson's resignation affect crypto regulations?
First, the crypto industry is convinced that Johnson's resignation and the cascade of resignations that preceded it, especially that of the finance minister, will only delay the implementation of the Crypto regulations in the UK.
As reported by Bloomberg, The resignations of Rishi Sunak and John Glen, Economic Secretary to the Treasury, have put a huge brake on crypto regulations, which had gained momentum in recent months and which sought to position the nation as a space favorable to cryptocurrencies. Both were considered the main architects of a campaign that sought Attracting Crypto Investors to the UK.
With these resignations, the crypto industry is back to square one, as all the regulations that were anticipated will take much longer to be implemented, considering that the replacements for Sunak and Glen, or even a change of government, do not represent a 180 degree turn from the current favorable policy of the government.
John Glen is considered to be the The true architect of the rapprochement between the crypto industry and British regulators, since for many months he carried out Constant visits to mining centers the industry's main players to learn from within how the sector works. This is why experts believe it will be very difficult to replace them.
It is worth remembering that it was John Glen and Her Majesty's Treasury who advocated for Reversing the Bank of England's proposed tightening of crypto regulations, which many crypto companies complained about as being impossible to comply with.
Moreover, Boris Johnson's resignation also leaves stablecoin regulation up in the air which was due to be implemented in August. In theory, the implementation of the regulation should go ahead, as Jon Cunliffe, who replaces Glen as Treasury Secretary, announced its launch at the Qatar Centre for Global Banking and Finance's annual conference, although it is possible that it could be stalled or delayed.
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