Analysis: The UK's new budget proposal exempts Crypto Assets from new taxes, but regulation is tightening.

According to Mars Finance, UK Chancellor of the Exchequer Reeves did not further increase the Capital Gains Tax rate that has already affected crypto asset investors in the “Autumn Statement” released on Wednesday. Azariah Nukajam, the UK compliance officer of Gemini, welcomed this decision. “I am pleased to see that crypto assets will not be subject to new taxes, which means that crypto assets are being regarded as equivalent to other asset classes, ensuring they remain a viable alternative investment option in the long term,” she stated. However, Nukajam pointed out that recent legislative and regulatory announcements in the UK, combined with this budget statement, indicate that “stricter regulations, closer to the TradFi model, and tax transparency requirements will proceed as planned.”