UK Bill Grants Power to Seize Crypto in Financial Crimes
• The UK’s Economic Crime and Corporate Transparency Bill has passed a third reading in the House of Lords.
• If approved, the legislation will allow authorities to seize cryptocurrencies that have relation to financial crime.
• The Financial Conduct Authority (FCI) of the United Kingdom reminded firms marketing cryptocurrencies to comply with a designated promotion regime.
UK Bill Empowering Authorities to Confiscate Crypto Approved by House of Lords
The UK’s Economic Crime and Corporate Transparency Bill has been approved by the House of Lords (the Parliament’s upper chamber). If officially approved, it will allow the authorities to seize cryptocurrencies should they have a relation to some sort of financial crime.
Consideration of Amendments and Royal Assent
The bill needs to pass “Consideration of Amendments” and “Royal Assent” before going live. It was initially introduced in 2022 in an effort to combat financial crime and offer protection to locals.
Financial Conduct Authority Reminder
On another note, the Financial Conduct Authority (FCI) of the United Kingdom reminded that all domestic firms marketing cryptocurrencies to British consumers must comply with a designated promotion regime.
Cryptocurrencies as Attractive Technological Enablers for Criminal Activity
British officials have previously argued that crypto assets are “an attractive technological enabler for criminal activity” due their pseudo-anonymous and transnational nature. Therefore, proposed legislation aims at combating such activities by granting additional jurisdiction to confiscate digital currencies associated with criminal activities, such as terrorism financing.