The federal government of the UK has dropped plans to subject a non-fungible token (NFT), which was first proposed in April 2022 and scheduled for issuance in June 2022.
The UK’s Financial Secretary to the Treasury, Andrew Griffith, said the Royal Mint had canceled plans to launch a government-backed token.
Griffith’s assertion was in response to a query by Harriet Baldwin, chair of the Treasury Choose Committee, who requested if there was nonetheless a plan for the Royal Mint to subject an NFT.
“In session with HM Treasury, the Royal Mint just isn’t continuing with the launch of a non-fungible token right now however will hold this proposal beneath assessment.”
Andrew Griffith, UK’s Financial Secretary to the Treasury
In April 2022, the previous Chancellor of the Exchequer, Rishi Sunak, the present UK prime minister, requested the Royal Mint to create an NFT to be circulated by the summer time of 2022. The proposed creation of NFTs was a part of Sunak’s plans to make Britain a hub for crypto innovation and growth.
In the meantime, a statement by Baldwin in response to Griffith’s reply, as quoted in a BBC report, stated:
“We’ve got not but seen a whole lot of proof that our constituents must be placing their cash in these speculative tokens except they’re ready to lose all their cash. So maybe that’s the reason the Royal Mint has made this choice along with the Treasury.”
The UK not too long ago expressed issues concerning the NFT sector, with legislators noting the absence of a regulatory framework for NFTs. In November 2022, lawmakers launched an inquiry into the benefits and dangers of non-fungible tokens.
Additionally, the UK promoting regulator, the Promoting Requirements Authority (ASA), banned an NFT advert by Crypto.com and Turtle United in December 2022, claiming that the promotions had been deceptive.
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