Last updated on January 2nd, 2026 at 07:34 pm
Quick Breakdown
- The UK Parliament granted royal assent to the Property (Digital Assets etc) Bill on Tuesday, codifying crypto as personal property.
- This step clarifies ownership rights, supports theft recovery, and enables tokenized assets.
- Advocates like Bitcoin Policy UK hail it as a major win for Bitcoin holders.
Lord Speaker John McFall announced in the House of Lords that King Charles granted royal assent to the Property (Digital Assets etc) Bill, turning it into law. The legislation treats digital assets such as cryptocurrencies and stablecoins, as personal property under UK law. This move addresses long-standing uncertainties in common law rulings.
CryptoUK stated that courts previously handled digital assets as property through individual cases, but Parliament now embeds this principle directly into statute. Freddie New, policy chief at Bitcoin Policy UK, called the development a massive advancement for Bitcoin users across the United Kingdom. The change stems from a 2024 Law Commission recommendation to create a distinct category for crypto.
Update – this Bill is now on the way to the King’s desk for Royal Consent and will shortly become law. See thread for some extra details👇
A hugely significant step for English law and for UK citizens who use Bitcoin.@bitcoinpolicyuk have been supporting this since the Law… https://t.co/ZbBdK59yZi
— Freddie New (@freddienew) December 2, 2025
Clarifying crypto as personal property
UK law divides personal property into tangible items, such as cars, known as “things in possession,” and intangible rights, such as contracts, known as “things in action.” The new Act confirms that digital or electronic items qualify as personal property, even if they do not fall into either category. CryptoUK explained that this provides solid grounds for ownership proof, recovery of stolen assets, and treatment in bankruptcy or estate proceedings.
The Law Commission highlighted in 2024 that crypto’s unique traits demanded this update to avoid court disputes. Now, holders gain confidence akin to traditional property owners. About 12% of UK adults own cryptocurrency, according to recent data from the finance authority.
Positioning the UK as a crypto hub
CryptoUK noted the law enables secure digital markets, tokenized real-world assets, and innovative financial products. It aligns with April’s plans for a crypto regulatory framework matching traditional finance rules. This positions the UK as a global crypto centre while prioritizing consumer safeguards.
Notably, Aave founder Stani Kulechov argues that the UK’s strict, “one-size-fits-all” crypto promotions regime harms innovation, especially by subjecting stablecoins to the same high barriers as speculative assets. This friction pushes users to overseas platforms, jeopardizing the UK’s goal of fintech leadership. Conversely, the Bank of England warns that weaker stablecoin rules could create significant financial instability and liquidity shocks.
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