• The U.K. Parliament’s House of Lords is moving forward with legislation to expand authorities’ ability to target cryptocurrencies used for illicit purposes.
• The Economic Crime and Corporate Transparency Bill includes provisions amending existing frameworks to allow authorities greater flexibility in the confiscation and civil recovery of crypto assets.
• In March, the U.K. government said it planned to “robustly” regulate crypto to fight the illicit use of digital assets as part of its economic crime plan from 2023 to 2026.
UK Government Moves Forward on Crypto Seizure Bill
The U.K. Parliament’s House of Lords is advancing legislation that would empower authorities to seize cryptocurrencies used for illegal activities. On July 4, members conducted a third reading of the Economic Crime and Corporate Transparency Bill with no major changes proposed during the meeting, paving the way for potential royal assent by lawmakers later this year.
Provisions Aimed at Strengthening Crypto Enforcement
The bill includes provisions that would amend existing legal frameworks to provide police with greater flexibility in confiscating and recovering crypto assets used for criminal or terrorist activities. In March, the U.K government committed itself to “robustly” regulating cryptocurrency markets as part of a broader effort against financial crimes between 2023-2026.
Financial Services & Markets Bill Signed Into Law
A related Financial Services & Markets Act was also signed into law on June 29th after passing a third reading in late June, intended to help support cryptocurrency adoption within Britain’s borders..
FATF Travel Rule Compliance Deadline Looming
In addition, the government has been working alongside various agencies in order to implement the Financial Action Task Force’s (FATF) Travel Rule by October 2021; an effort which will require all firms dealing with virtual currencies like Bitcoin (BTC) and Ethereum (ETH) comply with new anti-money laundering regulations..
UK Government Taking Proactive Stance Against Crypto Crime
By taking these proactive steps towards better regulation and enforcement, it appears that British officials are taking a stance against criminal activity enabled by cryptocurrency networks – both domestically and internationally – while simultaneously providing much needed clarity for businesses operating within their borders