**UK Minister Advocates for Blockchain-Based Government Bonds**
The UK's City Minister, Tulip Siddiq, is pushing for the introduction of blockchain-based gilts, a type of government bond. This move aims to modernize the UK's financial markets and boost its global standing in digital assets.
**Why Blockchain Gilts?**
- Proponents believe blockchain gilts could streamline the bond issuance process by removing intermediaries like registrars and transfer agents.
- Enhanced transparency in ownership tracking is another key benefit.
**Resistance from Debt Management Office**
- The UK Debt Management Office (DMO) has expressed concerns about the technical and legal challenges of transitioning to blockchain.
- Their primary focus remains on minimizing costs and ensuring the efficient functioning of the gilt market.
**Political Shift and Crypto Optimism**
- The Labour Party's recent election victory has renewed optimism for the crypto industry.
- CryptoUK sees potential growth under new leadership, aligning with Prime Minister Keir Starmerâs priorities in job creation, growth, and inclusivity.