The U.K. Court of Appeal agrees there’s a serious issue to be tried, but hasn’t yet given any substantive judgment on the case. The Law Commission’s report refers to the case, and even suggests a rule of thumb for when developers are liable – implying there’s no case to answer if they don’t retain control over tokens – but the implications may not be as wide as defendants say.
While the report may constitute helpful guidance, the Law Commission is more concerned about ownership of assets than their underlying networks, Louise Abbott, partner at Keystone Law said.Some of the details still need to be nailed down in legislation. The Commission wants lawmakers in Parliament to pass a new law to clarify that people can own digital assets, even if they don’t fit into the same legal category as other things you can own like cars or debts.
“So far, the U.K. is talking big words but doing very little in terms of pushing itself and positioning itself as a leader on policy,” he said. While the EU’s MiCA law is already finalized and set to take effect in 2024, a U.K. Treasury consultation on proposals for regulating the crypto sector has not yet been followed up with detailed provisions.