The UK House of Lords approved an amendment on Wednesday requiring the government to develop a digital asset strategy, voting 194–138 in favor despite the Labour government's opposition to the measure.
Amendment 88, introduced by Conservative peer Baroness Neville-Rolfe, was added to the Financial Services and Markets Bill during its Report Stage. The amendment would require the Treasury to prepare, publish and consult on a digital asset strategy within 12 months of the bill becoming law.
The proposed strategy would cover cryptoassets, stablecoins and tokenized securities. It would address multiple issues including innovation, consumer protection and firms' access to banking, payment and settlement services.
The Labour government opposed the amendment, arguing it did not adequately address the rapid development of digital assets and the need for a cohesive regulatory framework. During a July debate, Treasury's Minister for Investment, Lord Stockwood, had stated that the government already possessed a digital asset strategy and was executing it.
The UK Cryptoasset Business Council, which worked with lawmakers on the amendment, welcomed the vote. The council highlighted questions about whether the UK should focus on simply regulating digital assets or building a broader digital assets economy.
The Financial Services and Markets Bill must return to the House of Commons, where lawmakers can accept, amend or reject the Lords' changes.
