UK Cryptocurrency Market to Improve Despite BrexitNovember 3, 2018
Experts predict that cryptocurrency markets are set to provide a decent boost to the UK’s financial landscape.
This is indeed a sensational prediction as the experts have to say that the crypto market will disregard the Brexit earthquake prediction.
The Bank of England recently cut down its GDP forecast down to 1.7 from 1.8 percent. This created a worry about the economic picture.
Just as Britain is battling to secure the Brexit deal with the Brussels, Chancellor Philip Hammond has forecasted huge economic damage due to the crashing of European Union. The crash forecast warns of an 87.7% decline in the GDP and an 80 billion pound black hold in the public finances.
There has been a negligible resurgence of the 10-year-old Bitcoin after a drastic fall in August and September.
Investors are worried about the physical economy and the Brexit deal, but experts believe that the market will be able to take advantage of the Brexit. They feel that cryptocurrency can be used to boost their wealth and to secure their assets.
Britain on freeing itself from the EU rules will be able to adopt its own rules, per Mike Romanov, Chief Executive Officer of Digital Securities Exchange (DSX).
Britain is looking to dominate and sustain the financial services after Brexit; however, several other major players have abandoned ahead of March 2019.
The European Nations are looking to execute regulations at the EU level, Britain will be able to freely apply its own rules to shape their economy as crypto friendly and well-regulated market that will contribute to the future of this financial movement, thereby eliminating suspicion and cynicism.
On leaving the EU, Britain will be freeing itself from the bureaucratic processes. This will impact the growth of cryptocurrencies in a detrimental way. Their allies will be duplicating cryptocurrency partnerships with countries across the world.
Herbert Sim, the CCO at Cryptology stated that it is not easy to believe that the UK won’t exploit cryptocurrency opportunities opened up by Brexit. On leaving the EU, UK will be able to make clearer decisions in areas where the EU bureaucratic process will be very slow about making choices.
Brexit is going to permit stronger cryptocurrency partnerships with crypto friendly economies like South Korea, China, Singapore, Brazil, and Australia.
Iqbal Gandham, MD of eToro, states the volatility due to Brexit will be for a short-term. With cryptocurrencies being used in less stable economies, Brexit is likely to bring in a new wave of investors looking to diversify their portfolio in an attempt to hedge against the geopolitical risk. However, there are experts of opinion that feel that UK might follow the rest of EU with the launch of UK’s Anti-money laundering watchdog being a sign of EU compliance.