The UK Treasury has scrapped plans to launch a non-fungible token (NFT) as part of a broader initiative to boost the country’s standing as a hub for crypto innovation.
The UK Treasury’s decision to has been seen as a setback for the country’s ambitions to become a global leader in crypto innovation. The suggestion for creating a digital version of the Royal Mint’s commemorative coins, known as NFT, was first proposed by Rishi Sunak, who is presently serving as the Prime Minister and was previously the Chancellor of the Exchequer. This proposal was publicly announced by the Royal Mint in the spring of 2022, with the aim of providing collectors with a platform to purchase and trade distinctive digital assets.
The unexpected cancellation of the NFT launch is noteworthy, considering that the British government has been actively pursuing the regulation of the crypto industry and its formalization within a framework. Moreover, the government has been developing strategies to acknowledge stablecoins as a legitimate means of payment to encourage greater use of cryptocurrencies in the United Kingdom.
The decision to cancel the NFT launch was revealed in a written response to questions posted on the UK parliament’s website by Treasury Minister Andrew Griffith. While the Royal Mint is not proceeding with the NFT launch at this time, it is keeping the proposal under review. The move has been met with disappointment by some in the crypto industry, who had seen the UK’s plans for an NFT as a sign of the government’s commitment to innovation in the sector.