According to Cointelegraph, industry insiders believe that the UK's cryptocurrency regulatory status is unclear, making it a difficult alternative for companies seeking relief under the EU's Markets in Crypto-Assets Regulation (MiCA).

Zodia Custody's Chief Compliance Officer Sophie Bowler predicts that the requirements of MiCA may trigger a 'short-term shift' from the EU to the UK.

Executives from CryptoUK and Merkle Science indicated that while some companies may seek alternative markets before the MiCA deadline, the UK may not be the best choice.

Merkle Science's Director of Public Policy and Regulatory Affairs Natalia Latka noted that the strict requirements of MiCA pose significant challenges for foreign crypto asset service providers and stablecoin issuers.

Latka questioned whether the UK is a good alternative for businesses seeking relief, suggesting that the regulatory uncertainty and operational difficulties in the UK may make it less ideal than MiCA.

CryptoUK Executive Director Su Carpenter stated that regulatory progress in the UK has been delayed due to elections and government changes, lacking clear direction.

Carpenter believes that the UK's cryptocurrency regulation will not fully replicate MiCA, as many areas need to evolve to reflect the constantly developing crypto industry.