The UK's Treasury Select Committee is to launch an inquiry into digital currencies and distributed ledger technology, reports Finextra. An important part is to scrutinise the regulatory response to the cryptocurrency boom from the Government, the Financial Conduct Authority, and the Bank of England. The interest in Whitehall and Westminster in the cryptocurrency markets mirrors that of the ordinary man on the street following a year of boom and bust cycles on volatile virtual currency exchanges. "The Treasury Committee will look at the potential risks that digital currencies could generate for consumers, businesses, and Governments, including those relating to volatility, money laundering, and cyber-crime," Nicky Morgan MP, chair of the Treasury Committee, said. A rise in US mortgage rates to a four-year high of 4.64 per cent has seen US mortgage applications fall 6.6 percent in the last week. Longer term US market interest rates have risen on fears inflation is picking up as unemployment nears rock-bottom and as the Government increases its deficits and borrowing by over US$1 trillion per year because of tax cuts and military spending increases.