Cryptocurrency impacts the fintech recruitment market

Paul Roche our consultant managing the role
Author: Paul Roche

It seems hard to go a week without hearing the term ‘Cryptocurrency’ doesn’t it? Cryptocurrency is a medium of exchange, but is digital and uses encryption techniques to control the creation of monetary units and to verify the transfer of funds.

It has been with us since 2009, when probably the best known version called Bitcoin came into existence. Since then, we have slowly but surely been heading towards a cashless society, and thousands of different types of digital currency (approximately 4,500 to date) have been created around the globe.

Combine this with the rise of the Fintech industry, and the ease with which your average person can access and trade in crypto, and it’s not surprising that it’s causing such a storm – especially when it’s spurred on by Elon Musk making a fuss on Twitter!

Cryptocurrency risks and regulations

As we know, every investment opportunity is not without a level of risk, but you could argue that cryptocurrency carries a higher risk than most. Unlike traditional money, cryptocurrency is not backed by a bank, if you take a close look at any bank note, you’ll see the words ‘I promise to pay the bearer on demand the sum of X pounds’. When the Bank of England was founded in 1694, this promise meant that the bank would pay the note bearer the equivalent value in gold, if requested to do so. This helped banks to move people away from physical commodities such as gold, and gain confidence in cash.

This confidence is a long way off with cryptocurrency, and many governments and financial institutions refuse to accept cryptocurrency as payment due to a lack of regulation, security and audit trail in this area. The Financial Conduct Authority (FCA) recently published their research findings which uncovered that the holding of crypto assets has increased, however the general understanding of what cryptocurrency is and how it works is declining. Sheldon Mills, FCA’s Executive Director, commented ‘If consumers invest in these types of products, they should be prepared to lose all of their money.' Similarly, the US Securities and Exchange Commission (SEC) recently called on congress to give them more authority to regulate the cryptocurrency market.

Despite it’s complexity and regulatory challenges, crypto continues to gain popularity and is attracting more and more buyers.

If consumers invest in these types of products, they should be prepared to lose all of their money"

SHELDON MILLS |   FCA’s Executive Director


Career opportunities as a result of cryptocurrency growth


The Guardian recently reported that UK fintech investment hit a new record of £18bn for H1 2021, and London continues to dominate Europe’s fintech sector. With significantly more ongoing input from the FCA into this market, there is a constant demand for experienced governance professionals. While businesses are continuing to hire traditional governance professionals, such as, Head of Compliance, MLRO and Head of Risk, there has also been more of a focus on specialist professionals with anti-money laundering experience, such as, Combating the Financing of Terrorism (CFT), Transaction Monitoring, and Suspicious Activity Reports (SARs). It’s often desirable that professionals with experience in these areas also have technology skills, for example coding language, or specific software knowledge.

Candidates looking to specialise in this discipline should try and focus on a combination of practical hands-on experience and relevant crypto qualifications from accredited bodies, such as, the International Compliance Association (ICA), and the Association of Certified Anti-Money Laundering Specialists (ACAMS).

Candidates should interview carefully with any start-up, and carry out some due diligence, asking as many questions as possible to ensure there is sufficient funding and a quality strategic plan to support the growth of the business.

 Get in touch to discuss your options


If you would like to discuss your career options in governance, compliance, risk, or financial crime, drop me a note and I would be happy to advise!

 


16/08/21
posts

Related articles

Accounting career paths for newly qualified accountants in the UK
Accounting career paths for newly qualified accountants in the UK

Teaser

Finance & Accounting

Content Type

Career Advice

31/01/24

Summary

ACA. ACCA. CIMA. AAT. ICAS. CIPFA.  If you’re reading this, you probably know what these qualifications are and understand the importance they hold in a career in accountancy.  Having an accountancy q

Teaser

Unlock accounting career paths in the UK.

Read full article
Ali Arslan

by

Ali Arslan

Ali Arslan

by

Ali Arslan

9 reasons to take a Temporary Employment Contract
9 reasons to take a Temporary Employment Contract

Teaser

Commerce & Industry

Content Type

General

31/01/24

Summary

Does a temporary contract seem uncertain or even scary to you? While it's undeniable that a certain level of unpredictability accompanies temporary work, it's crucial to recognize the multitude

Teaser

Compelling reasons why a temporary contract could be the ideal fit for you.

Read full article
Mark Korevaar

by

Mark Korevaar

Mark Korevaar

by

Mark Korevaar

How to resign from a job the right way, and navigate a counteroffer conversation
How to resign from a job the right way, and navigate a counteroffer conversation

Teaser

General

Content Type

Career Advice

02/01/24

Summary

Navigating the process of resignation gracefully and professionally is a pivotal moment in anyone's career journey. In the fast-paced and interconnected world of today's job market, knowing

Teaser

Let’s learn how to write up your resignation letter, how to navigate your resignation meeting and any counteroffer conversations.

Read full article
David Harvey

by

David Harvey

David Harvey

by

David Harvey

jobs

Related jobs

We are sorry we can't find what you're looking for


Why not try one of the following ...

View all jobs