Overview
- From January 1, 2026, UK cryptocurrency exchanges must collect and report users’ personal details, including name, date of birth, address and NI or Unique Taxpayer Reference numbers.
- Platforms are obliged to submit full transaction data—value, type, nature and quantity of crypto units traded—to HMRC.
- HMRC will cross-check exchange reports against self-assessment tax returns to uncover undeclared capital gains and launch investigations.
- Exchanges risk fines up to £300 per user for inaccurate or incomplete reporting, while individuals may face penalties equal to 100% of unpaid tax plus interest.
- The rules will affect more than six million UK crypto holders and extend to business traders and overseas investors under HMRC’s global compliance drive.