UK: FCA discussion paper on distributed ledger technology

The Financial Conduct Authority has published a discussion paper on distributed ledger technology (DLT): see here (pdf). To quote directly from the discussion paper, the FCA has published the paper in order "to start a dialogue on the potential for future development of DLT in the markets we regulate. We are particularly interested to explore where the balance of risk and opportunities may lie in relation to DLT". The FCA also notes that there has been "a broad range of reactions to DLT. We remain aware that exponents of new technologies, particularly vendors, will often hype or oversell new technologies. Equally, detractors will remain sceptical about their capabilities. One of the purposes of this DP is, therefore, to invite debate and clarify what the real benefits and risks of DLT may be, and how they might impact our objectives".