The United Kingdom parliament has passed the Economic Crime and Corporate Transparency Bill to combat illicit activities involving crypto. The bill is expected to receive the Royal Assent today, marking the beginning of a tough approach towards crypto-related crimes in UK.
The bill has provisions to allow seizure and freezing of cryptocurrencies without a conviction. Such provisions are added to strengthen authorities’ ability to tackle cybercrime, scams, and drug trafficking.
Britain is facing challenges from individuals who evade convictions using crypto for their criminal activities. The number of such incidents has been on a steady rise.
Why such a tough stance?
The passage of this bill aligns with UK’s broader strategy to “robustly” regulate the digital asset space. It is a part of its economic crime plan from 2023 to 2026. The goal is to ensure that the crypto sector does not become a haven for criminals.
They are also gearing up to adopt the Financial Action Task Force’s Travel Rule, making their commitment to curb crime evident.
UK to become a Crypto hub
On the other hand, the UK has emerged as a major cryptocurrency hub in Europe. As per a survey, the UK leads Central, Northern, and Western Europe in terms of raw cryptocurrency transaction volume. This has stemmed UK has a major country in the crypto space.
London was also crowned as the world’s most crypto-ready city, surpassing financial centers like Dubai and New York by crypto tax platform Recap in February 2023
The UK’s has committed itself to curb crypto-related crimes. It wants to create a safe and regulated environment following the footsteps of countries like Hong Kong. It very important to balance innovation with appropriate regulations for investor safety.