UK Set to Implement Comprehensive Crypto Regulations in 2025

Economic Secretary Tulip Siddiq Confirms New Regulatory Framework

At the Tokenisation Summit in London, Tulip Siddiq, the economic secretary to the treasury, announced the UK’s plans to introduce a wide-ranging regulatory framework for the cryptocurrency sector at the beginning of 2025.

Inclusion of Cryptocurrency and Stablecoins in New Rules

The upcoming regulations will cover cryptocurrencies and stablecoins, which are digital assets pegged to a more stable asset like a fiat currency, as confirmed by Tulip Siddiq during the event.

Staking Services Not to Receive Special Treatment

Despite hopes from the crypto industry to exempt staking services, which involve investors locking their tokens to support a blockchain for returns, Siddiq emphasized that these services would not receive any special exemptions under the new regulations.

Proposed Bill for Enhanced Legal Protections of Crypto Assets

In addition to the regulatory framework, the UK has introduced a bill that aims to provide increased legal protections for crypto assets, such as Bitcoin and NFTs, by categorizing them as “personal property” if the bill is passed into law.