The UK MPs have labeled retail investment in cryptocurrencies like Bitcoin as gambling due to their volatile nature and the potential for a complete loss. The Royal Mint’s proposed non-fungible token (NFT) was condemned by the Treasury Select Committee. The authority favors regulating cryptocurrency under financial services regulation rather than gambling.

Risks of Crypto Gambling: MPs Highlight Concerns as Addiction Cases Rise

MPs compared “unbacked” crypto assets to gambling since they provide no social function. More important to mention that concern about the same issue was already expressed by an organization specializing in gambling customers’ safety. In February 2022, GamCare insisted on the proper self-exclusion program for stock and cryptocurrency traders because of the growing tendency of harmful investment.

Combatting Crypto Chaos: Call for Regulation and Football Sponsorship Reform

Former sports minister and Conservative MP Tracey Crouch supported the report, comparing the current state of crypto to the Wild West. She proposed that the Gambling Commission could establish order in this dangerous region where customers had been lured in by sports marketing.

Football clubs have voluntarily committed to stop having casinos advertise on their shirts as of 2026. The report proposes treating the speculative marketing of specific cryptocurrencies as gambling, aiming to prevent the exploitation of loyal football supporters.

The government sought public input on regulating crypto assets in February. However, the committee warned that treating cryptocurrencies as financial services could mislead consumers into thinking they are safer than they actually are. Surveys indicated that Bitcoin and Ethereum are the most commonly held cryptocurrencies by the 10% of UK residents who own them. The primary reason cited for holding crypto assets was the enjoyment of investing.

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