UK to Require Crypto Firms to Report Every Customer Transaction

Beginning in 2026, the British government will mandate that every crypto transaction includes detailed personal data to improve transparency and combat tax evasion.

This initiative signals the start of systematic surveillance, with information such as names, addresses, tax numbers, and transaction details being sent to HMRC.

This aligns with the OECD’s Crypto-Asset Reporting Framework, effectively turning blockchain participants into tax administration conduits. This marks a significant departure from the foundational principles of Bitcoin and Web3, such as decentralization, pseudonymity, and financial autonomy.

Crypto platforms in the UK will need to modify their technical systems to meet these new reporting requirements, focusing on thorough and continuous transactional traceability beyond KYC.