Regulatory uncertainty in Britain’s blockchain sector is mentioned as one of the biggest concerns for distributed ledger technology firms in the country, according to research conducted by digital innovation agency Digital Catapult
Thus, the research states that about 75% of blockchain firms in the United Kingdom cited regulatory issues as being one of their key concerns, surpassing other issues such as access to technical, business or legal expertise.
It is expected that the most important issue that is included in regulatory uncertainty is the presence of the European Union’s General Data Protection Regulation (GDPR). This document states the use and storage of personal data, which is a weak point for blockchain companies since the storage of data is not limited to any one particular geographical location.
It was also noted by Digital Catapult that the regulatory uncertainty has also affected relationships between blockchain firms and traditional financial institutions. Thus, in the survey which polled 264 DLT firms, 54% of the blockchain companies indicated that they faced difficulties opening a bank accounts.
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