Exit the EU? Bitcoin and financial technology firms may leave the UK

The topic of Britain leaving the EU has been discussed for a long time. We all know that the economic situation of EU countries is not very good at the moment. The economies of many EU countries have been declining in recent years. The financial sector of Greece has been in a state of collapse for many years, France is also in a recession, and Germany, the Netherlands and other European countries are also affected by Russia's anti-sanction policy.

The UK is relatively well developed in terms of finance compared to other EU countries. Now that the UK has realized that the cost of being a member of the EU is too high, the UK has been considering leaving the EU for some time. This is what people call Brexit. If the UK decides to leave the EU, there is no doubt that the overall financial situation of the EU will be affected. It will also cause British companies to lose the right to freely enter the European market. It is also worth noting that if the UK decides to leave the EU, Scotland may call for another referendum to decide to leave the UK, and even cause a chain reaction in other regions to follow suit.

Leaving the EU could cause British companies to lose their market position and suffer financial losses. The UK is home to many Bitcoin and financial technology companies, and London has been striving to become a financial center in Europe and the world. So far, London has provided these Bitcoin and financial technology companies with favorable regulatory policies to help them enter the vast European market. If the UK leaves the EU, these companies will lose their only advantage over their counterparts in other regions.

Britain's exit from the European Union has threatened many companies, especially those bitcoin and financial technology companies that are considering expanding to other EU countries. According to Reuters, seven of the 10 financial technology companies interviewed by the news agency said that if Britain leaves the EU, they plan to leave London for other more favorable regions, such as Dublin or Luxembourg. Reuters also mentioned that the UK's financial technology industry earned more than 6.6 billion pounds last year, a figure higher than any other country in the same period.

The shift in balance could even affect the many bitcoin and blockchain startups that have already taken root in the UK, some of which are working with the country’s traditional financial and banking sectors.

Any developments regarding the UK’s exit from the EU will come in the next four months. If the UK does decide to leave the EU, these companies will have to renegotiate to survive in other EU countries. In this case, it is not clear whether these financial technology companies will be able to cope with these threats well. However, whether these companies choose to leave or not, they will definitely suffer.

Exactly what the UK will do is a £6 billion question and we will have to wait many months for the answer.

Original article: http://www.newsbtc.com/2016/03/08/brexit-may-lead-fintech-companies-exit-britain/
Author: Gautham
Compiled by: Kyle
Source (translation): Babbitt Information (http://www.8btc.com/brexit-may-lead-fintech-companies-exit-britain)