Earlier today the Financial Services Conduct Authority (the "FCA") published its guidance on crypto assets. This follows on from the consultation paper published by the FCA in January. Important takeaways are as follows:
The guidance reiterates that it will look at cryptocurrency assets on a case by case basis. The guidance helps clarify which crypto assets are regulated. However, the market is still pretty nascent and the lines are frequently blurred. We regularly see security tokens dressed up as utility tokens in an effort to avoid regulation.
Link to related article: https://www.fca.org.uk/publication/policy/ps19-22.pdf