UK Parliament Introduces Bill to Classify Crypto as Personal Property

The UK Parliament has introduced a bill that officially recognizes cryptocurrency assets as personal property.

For the first time in British history, digital holdings including cryptocurrency, NFTs, and carbon credits will be classified as personal property under the "Property (Digital Assets etc) Bill."

Prior to the bill, such digital holdings were not definitively included in the scope of local law, meaning owners were left in a "legal grey area if their assets were interfered with."

Under the new law, legal protection is offered to owners and companies against fraud and scams. Digital assets will be classified as a third category of property. The bill further aids judges deal with cases about digital holdings such as settlement disputes like divorce.

"Our world-leading legal services form a vital part of our economy, helping to drive forward growth and keep Britain at the heart of the international legal industry," said Justice Minister Heidi Alexander.

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"It is essential that the law keeps pace with evolving technologies and this legislation will mean that the sector can maintain its position as a global leader in cryptoassets and bring clarity to complex property cases."

In a statement, the UK government said, "The Bill will also ensure Britain maintains its pole position in the emerging global crypto race by being one of the first countries to recognise these assets in law."

In May, the London Stock Exchange (LSE) approved the listing of the first-ever cryptocurrency ETPs.

ETPs are financial instruments that track the underlying price of an asset, such as a commodity or security. In this case, the newly approved ETPs will track the price of Bitcoin (BTC) and Ethereum (ETH), allowing investors to gain exposure to these cryptocurrencies through a familiar investment vehicle traded on the stock exchange.

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