UK Govt Passed a Bill Simplifying Crypto Seizure Process For Authorities
The UK government’s latest bill is aimed at cracking down on illegal financial activities such as money laundering, fraud and financial cyber crimes, mainly focusing on Cryptocurrencies. The lawmakers had already begun acting toward curbing illicit financial activities and reducing economic crime for quite some time now. Earlier in May this year, King Charles had announced this bill in both the houses of the U.K. Parliament to bolster UK authorities’ ability to target and act easily in such cases. The Lawmakers banded together and passed a new bill this Thursday which helped the nation’s police in seizing, freezing and recovering crypto assets easier. This bill helps modernise the already existing “proceeds of crime act law from 2002” to counter new forms of illicit financial activities and related cyber crimes and has been named “The economic crime and corporate transparency bill”.
This law helps police and other national law enforcement agencies to track and crack down on individuals, business entities and foreign kleptocrats thereby helping curb money laundering practices. This allows UK authorities to cut through the red tape surrounding confidentiality liability allowing them to force businesses and individuals to hand over crucial information that could be related to various illicit activities carried out using cryptocurrencies. Criminals have always taken advantage of loopholes and abused the complex structure of UK companies to help launder profits from their illegal activities. But this law allows enforcement agencies to compel the entities into surrendering the otherwise hidden data which helped them launder money in both the domestic and international markets.
Aside from this bill, the UK had also taken measures previously to protect consumers from misleading crypto commercials. Back in January this year, the government announced that all crypto advertisements should comply with existing financial promotions legislation. This meant that crypto ads need approval from either FCA or PRA or a firm which has a license from either of these regulatory bodies. In March, Advertising Standards Authority (ASA) coordinated closely with FCA to issue a red alert enforcement notice to over 50 companies warning them to bring their ads compliant with the new set of guidelines. Given its crypto-friendly environment alongside tough regulations which crack down on illegal activities, the government hopes to promote new start-ups and innovative ventures in the UK crypto market in hopes of boosting the nation’s economic growth.