Overview
- Published alongside the Budget, the move keeps headline crypto taxes unchanged but signals a shift in how DeFi lending and liquidity activity would be assessed.
- HMRC drops its earlier plan to mimic repo and stock‑lending rules and now intends to cover automated market makers and multi‑token liquidity pools explicitly.
- Deposits into lending or liquidity protocols would be treated on a no‑gain, no‑loss basis, with tax calculated on exit based on what users receive back.
- The department says the approach remains under consultation, with work starting on rules for individuals before considering companies and no legislative timetable announced.
- Broader transparency measures advance as exchanges must supply more detailed customer data from 2026, with HMRC coordinating on reporting practicality with software providers.