- Cryptographic companies must report user and transactions data from 2026.
- Penalties of up to £ 300 per user apply to defective or missing data.
- The open approach to the United Kingdom differs slightly from the EU Mica model.
The United Kingdom is starting to make more space for the crypto, but it wants receipts for each user, trade and transfer.
From the first day of 2026, cryptocurrency companies operating in the country will have to collect and report detailed data on users and transactions within the framework of a new framework being deployed by the British tax authority.
The change stems from the adoption by the United Kingdom of the framework of crypto-support-a global standard designed to repress tax evasion and provide transparency of cryptography in accordance with the bank.
The platforms will have to identify each user and record their legal details, their addresses and their tax identification numbers.
They will also be required to document each transaction involving British users or those of other countries participating in the CARF, including the value, type of assets, quantity and nature of the transfer.
The requirements even extend to foreign companies serving British customers and penalties of up to £ 300 per user will require incorrect or incomplete reports.
Although the rules are not applied before 2026, the authorities encourage companies to start collecting data now to ensure preparation for compliance.
Open approach
The new regime is part of a broader government campaign to strengthen the regulation of cryptography while promoting the growth of the sector.
In a speech during the British week Fintech at the end of April, Chancellor Rachel Reeves announced a bill to provide exchanges of crypto, dealers and guards within the regulatory perimeter, promising more strict monitoring of consumer protection and operational resilience.
“Robust rules concerning crypto will strengthen investor confidence, will support the growth of fintechs and protect people across the United Kingdom,” said Reeves.
The United Kingdom has also reported a closer regulatory alignment with the United States, floating the idea of a transatlantic sandbox for digital assets as part of its economic change plan.
Mica contrasts
The United Kingdom’s approach is also distinguished from the new European Union Mica rules.
According to the Mica Crypto Alliance, the United Kingdom chooses to fold the crypto into its existing financial framework rather than building an entirely separate system.
This includes the cover of loans, borrowings, punctures and stablecoins by virtue of traditional financial law, without obliging stallion transmitters abroad authorized in the United Kingdom or imposing volume ceilings.
“This signals a more open and aligned approach on a global scale than the EU emphasis on location and control at the block,” wrote the group on X, adding that many will depend on the way British regulators apply the final rules.
Kyle Baird is the editor of the DL News weekend. Do you have a tip? Email to kbaird@dlnews.com.
