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The UK Introduces New Rules to Restrict Illicit Use of Cryptocurrencies

Published 03/03/2024, 11:39
Updated 03/03/2024, 11:45
The UK Introduces New Rules to Restrict Illicit Use of Cryptocurrencies
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  • The United Kingdom has introduced new rules restricting illicit activities involving crypto assets.
  • The island country bestows the National Crime Agency the power to confiscate suspicious crypto assets.
  • The agency even has the power to destroy these cryptocurrencies if required.

In a crucial development in crypto regulation, the United Kingdom introduced Statutory Instrument documentation in a bid to freeze crypto assets involved in criminal activities. As per estimations, the amended rule will be effective from April 26, 2024.

According to the document released on February 29, the Economic Crime and Corporate Transparency Act 2023 has been modified, bestowing authority to law enforcement to seize suspicious cryptocurrencies without conviction. Reportedly, the legislation will expand the National Crime Agency’s power to confiscate and seize digital assets suspected of being linked to illegal crypto transactions and other activities.

The new amendment facilitates the UK’s law enforcement authority to retrieve cryptocurrencies directly from exchanges and custodian wallet providers without extensive legal proceedings. In addition, they even have the authority to destroy these assets if required.

The UK’s current regulatory move is part of its wider vision of introducing more convenient rules to regulate the crypto industry. In October 2023, the HM Treasury hinted at the island country’s mission of introducing more clarity to crypto regulations in 2024.

Last week, in an event hosted by Coinbase (NASDAQ:COIN) in London, Bim Afolami, Economic Treasury to HMT, shared insights on the United Kingdom’s extensive vision of crypto regulation. The island nation intends to frame new rules governing stablecoins and crypto staking in the next six months. Afolami stated, “We’re very clear that we want to get these things done as soon as possible. And I think over the next six months, those things are doable.”

The post The UK Introduces New Rules to Restrict Illicit Use of Cryptocurrencies appeared first on Coin Edition.

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