Digital Asset Summit Charts Path for UK's On-Chain Financial Future
- Sophie Bell
- 4 days ago
- 4 min read
Morning sessions focus on legal frameworks and Crown Dependencies' strategic role
The inaugural Digital Asset Summit, held in Jersey on October 2nd, 2025, brought together legal experts, policymakers, and financial innovators to address the UK and Crown Dependencies' position in the rapidly evolving digital asset economy. The morning sessions established crucial foundations around legal clarity, regulatory frameworks, and the strategic advantages of the British Isles in the global digital finance landscape.
Opening the On-Chain Era
Lee Birkett opened proceedings with a clear thesis: "The on-chain global financial infrastructure is already here." This wasn't aspirational rhetoric but a statement of fact, setting the tone for a day focused on practical implementation rather than theoretical possibility. A video message from Lord Holmes reinforced the urgency of the UK's response to this transformation.
The timing proved prescient. With Bitcoin trading at $118,750—a remarkable rise from $3,600 in 2018—and the entire crypto market capitalisation reaching $4.17 trillion, the digital asset space has matured from speculation to institutional adoption. The challenge for jurisdictions like Jersey, Guernsey, and the Isle of Man is no longer whether to engage, but how to lead.
Legal Foundations: From Fear to Framework
Professor Sarah Green, former Law Commissioner who oversaw digital asset law reform from 2020 to 2025, led the keynote panel on legal and policy matters. Her work establishing property rights recognition for digital assets provided the legal bedrock now enabling institutional participation.
The morning discussions confronted a persistent challenge: the lingering association between digital assets and illicit activity. As one speaker noted in later sessions, referencing the morning's debates, "There are still plenty of people who regard it as something to fear, despite the huge numbers of legitimate use cases." Green's panel systematically dismantled these concerns, emphasising that while early adopters may have exploited technological advantages, this pattern characterises most major innovations—from the internet to mobile payments.
Sir Mark Boleat, Richard Farr, and Gemma Palmer joined Green in examining how recent legislative developments, particularly around digital objects and property rights, create competitive advantages for jurisdictions willing to provide clarity. The contrast with the mainland UK's regulatory hesitancy was implicit but clear.
Crown Dependencies: The Bridge to Global Capital
Helen Hatton chaired the second panel, positioning Jersey, Guernsey, and the Isle of Man as critical bridges between traditional finance and the digital asset economy. Mark Le Page, Mathew Beale*, and Racheal Muldoon outlined how these small jurisdictions leverage agility and innovation to compete globally.
Malta's experience, shared later in the day, illustrated the blueprint. With only 450,000 residents, Malta created the VFA Act in 2018—a legislative framework so innovative it became the forerunner to MiCA (Markets in Crypto-Assets). As one crypto platform founder explained, "It's a perfect example of what Jersey could do."
The Crown Dependencies' VASP (Virtual Asset Service Provider) regimes and data trust laws position them advantageously. Unlike Singapore's MAS or Dubai's Vara—both progressive regulators—Jersey demonstrated willingness to approve novel structures, particularly around secondary market liquidity for tokenised assets. This regulatory pragmatism, combined with established credentials as an International Financial Centre, creates a unique positioning.
Peer-to-Peer Finance: Democratising Access
The final morning session, chaired by Sir Mark Boleat with Lee Birkett, Edmund Hatton, Richard Farr and Sam Roberts, explored decentralised finance's implications for traditional intermediaries. The discussion centred on P2P stablecoin lending and borrowing, tokenised asset collateral, and what Birkett termed "the people's money market fund."
This wasn't abstract theory. Stablecoin transaction volumes reached $27 trillion over twelve months—approximately 20% of M1 and M2 money supply globally. These figures, shared in afternoon sessions but rooted in morning discussions, demonstrated that parallel financial infrastructure now operates at scale.
The regulatory implications are profound. As the morning sessions established, jurisdictions providing clear frameworks for P2P finance, tokenised collateral, and stablecoin operations position themselves to capture value from this transformation. The alternative—regulatory uncertainty—simply drives activity elsewhere.
Looking Ahead
The morning sessions established critical context: legal clarity exists, regulatory frameworks are viable, and jurisdictions like Jersey possess structural advantages. The afternoon would explore specific applications—Bitcoin treasury strategies, real-world asset tokenisation, and stablecoin infrastructure.
But the morning's key message resonated throughout: the digital asset economy isn't coming—it's arrived. The question for the UK and Crown Dependencies is whether they'll build the bridge to it, or watch capital and innovation flow elsewhere. Based on the expertise and commitment displayed in Jersey, the infrastructure is being built.
*To read Mathew Beale's reflections of the panel in full please read here:
