Key Points:
- New legislation enhances the UK’s ability to recover proceeds from cryptocurrency-related crimes.
- Crown Court gains expanded powers to issue seizure orders and confiscate digital assets.
- Provisions allow for valuation, destruction, and streamlined management of seized crypto assets.
Crackdown on Crypto Crime
The UK government has introduced the Crime and Policing Bill, aimed at strengthening its ability to seize and recover proceeds from cryptocurrency-related crimes. The bill lays out key procedures for valuing cryptocurrency, authorizing courts to recover illicit funds, and granting extended powers to the Crown Court to issue seizure orders.
Expanded Court Powers and Asset Confiscation
The bill broadens the authority of the Crown Court, allowing it to manage money, cryptocurrency, and personal property in cases of criminal confiscation. This legislative move is part of a wider effort to curb financial crimes linked to digital assets, ensuring that criminals cannot exploit cryptocurrency to evade justice.
Among its many provisions, the bill introduces measures allowing for the destruction of seized cryptocurrency assets. If a court orders the destruction of digital assets, their market value at the time of destruction will be considered, with adjustments for any subsequent fluctuations in value. This ensures that authorities can accurately assess and manage the worth of confiscated assets, even after they are removed from circulation.
Streamlining Crypto Confiscation Processes
Section 215ZA of the bill amends existing provisions for handling cryptocurrency, shifting jurisdiction from the magistrates’ court to the relevant court, thereby extending control over digital assets to the Crown Court. These updates are designed to streamline the management of confiscation orders, ensuring that cryptocurrency assets can be efficiently seized, valued, and recovered in criminal cases.
The Crime and Policing Bill, which also addresses other criminal concerns such as anti-social behavior, sexual offenses, public order, and terrorism, marks a significant step toward modernizing financial crime laws in response to the growing influence of digital currencies in illicit activities.
