The City of London: Driving Bitcoin Forward?

Journalist:
August 7, 2014

Harriet Dennys, writing in The Telegraph during the Summer, revealed that London has now overtaken New York and Beijing as the global financial center with the most “economic clout,” according to a PwC study tracking the development of the world’s 30 leading cities. London achieved the number one position in PwC’s Cities of Opportunity index with a margin of 55 points, an increase of two places from last year’s third-place ranking, placing it ahead of New York, Singapore, Toronto and San Francisco.

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London enjoys a growing reputation as the World’s technological tech hub. The PwC survey found that the City of London is “technologically on top of its game,” leaping from eighth place last year to joint first place with Seoul for technological readiness. London received top ranking for software and multimedia development and design, finished second overall for broadband quality, up 12 places from last year, and ranked third only behind Singapore and Seoul for internet access in schools.

PwC partner David Snell said there is “no doubt” that London’s growing digital reputation, following the influx of tech start-ups to east London’s Silicon Roundabout district, is linked to London’s “ease of doing business.”  Stuart Fraser, the Policy Chairman of the City of London Corporation, has said: “As a financial centre, London remains the envy of the world – it is certainly the most global centre and, by quite some distance, the one with the greatest international capital flows.”

The United Kingdom’s Chancellor of the Exchequer, George Osborne, today, proposed the launch of an £80 billion emergency scheme to kick start bank lending, showing the World that Britain was “not powerless to act” in the face of the ever deepening eurozone crisis. Mr Osborne said: “Today’s announcement aims to make mortgages and loans cheaper and more easily available, providing welcome support to businesses that want to expand and families aspiring to own their home.”

Sir Mervyn King, the former Bank of England Governor, has said that the “industrialized world have thrown everything bar the kitchen sink” at the global economic meltdown but that even “bolder action” is now required. It seems that both the Chancellor of the UK exchequer as well as The Bank of England are on side to support the UK economy through whatever means are deemed to be necessary.

The UK Treasury has launched a review seeking to turn the City of London into a global center for virtual currency trade, according to the chancellor, George Osborne, speaking at Canary Wharf in London. Departmental officials will undertake a study of the benefits and threats of unregulated digital currencies. The City of London will thus seek to maintain its place as a leader in financial and technological development. Osborne went on to say:

“It’s only by harnessing innovations in finance, alongside our existing world class knowledge and skills in financial services, that we’ll ensure Britain’s financial sector continues to meet the diverse needs of businesses and consumers, here and around the globe, and create the jobs and growth we all want to see in the future.”

There will certainly be a positive effect on Bitcoin price, there will certainly be an effect on Bitcoin adoption, there will also be considerable pressure on cryptocoin taxation…  It’s certainly one version of the future. If the City of London is moving to incorporate crypto… can the World be far behind?

Featured image by Shutterstock.

Last modified (UTC): August 8, 2014 18:52

PJ Delaney @P.J. Delaney@delboyir

Masters in Public Administration, Bachelors in Mgt., I live in Ireland, I have a bit of a background in Economics and lots of opinions on everything else.