UK lawmakers are making progress with a new bill aimed at strengthening law enforcement’s ability to seize cryptocurrency associated with criminal activities. The Crime and Policing Bill is currently under review in the House of Commons and is in its second reading stage. This proposed legislation addresses various concerns in the criminal justice system, including public order offenses, terrorism, sexual crimes, and economic fraud.
One of the key highlights of the bill is its focus on crypto asset recovery, ensuring that law enforcement agencies have the necessary legal support to confiscate illicit digital assets and return them to the victims. This builds upon previous legislation that granted authorities the power to freeze and seize cryptocurrency. However, the Crime and Policing Bill takes a more aggressive approach by streamlining asset recovery processes and closing legal loopholes.
Part of the bill strengthens the authority of the Crown Court in issuing confiscation orders related to cryptocurrencies. The Crown Court, which typically handles serious offenses such as fraud, robbery, and violent crimes, will now have the power to oversee the forfeiture of digital assets connected to unlawful activities. According to the bill’s explanatory notes, this extension of powers to the Crown Court applies to money, cryptoassets, and personal property.
The bill also introduces a framework for the destruction of seized cryptocurrencies when necessary. In cases where authorities dispose of confiscated crypto, valuation adjustments will be made based on market prices at the time of destruction to ensure financial accuracy.
Furthermore, law enforcement agencies will have broader authority to seize digital assets suspected of being linked to illegal activities, even before formal criminal proceedings are concluded. These measures aim to prevent individuals involved in criminal activities from benefiting from their illicit gains while investigations are ongoing.
Overall, the Crime and Policing Bill in the UK demonstrates the government’s commitment to combatting crypto-related crimes and ensuring that law enforcement has the necessary tools to address these issues effectively. By enhancing asset recovery procedures and expanding authorities, the bill aims to disrupt criminal networks and protect victims of financial crimes.
