The United Kingdom has reached a historic legislative milestone with the enactment of the Property (Digital Assets etc.) Act 2025, giving cryptocurrencies a clear legal status as a distinct form of property, separate from physical assets and contractual rights. This silent yet significant revolution firmly establishes Bitcoin, altcoins, and stablecoins within English law.
A Reform Qualifying as the Greatest Change Since the Middle Ages
The short yet decisive text was passed without amendment by both chambers before receiving royal assent from Charles III. According to Susie Ward, CEO of Bitcoin Policy UK, the impact is profound.
A third category of property now exists, legally protecting the sats you hold.
Freddie New, Chief Policy Officer of the organization, goes even further, suggesting that this may be “the biggest change in English property law since the Middle Ages“. An acknowledged hyperbole, yet indicative of the conceptual upheaval at play.
A Clarification Securing Litigations, Theft, and Bankruptcies
Until now, British courts had begun treating cryptocurrencies as assets in some cases, but without explicit legislative basis. The new framework eliminates any ambiguity: digital assets can be owned, seized, transferred, or claimed like any other property rights.
CryptoUK, the leading local crypto lobby, highlights that this codification will facilitate proof of ownership, the recovery of stolen assets, and their handling in insolvency or estate proceedings. A crucial element as crypto disputes increase and the industry professionalizes.
London Strengthens Its Ambition in Digital Finance
This recognition comes amidst escalating regulatory efforts in the UK. The Bank of England has recently initiated a consultation on a dedicated regime for sterling-based stablecoins, viewing this step as crucial to prepare for a future where digital currency is widely used in payments.
Sarah Breeden, Deputy Governor of the BoE, states that the country aims to catch up with the US and implement rules “as swiftly as Washington“.
For a nation aspiring to become one of the global hubs for digital finance, the legal clarification of crypto was a necessary step. Now, the UK has a strong legal foundation to develop a mature, competitive crypto ecosystem that aligns with institutional uses.
The law may only comprise a few lines. However, its impact appears to be enduring.
