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  • Writer's pictureBrandon Bianco

The U.K. Government wants to know - How should DeFi be taxed?

Updated: Jul 7, 2022




The UK government announced a “Call for Evidence” on Tuesday - seeking views on the

taxation of cryptoasset loans and ‘staking’ - within the context of DeFi.

The government wants to hear from investors, professionals and firms engaged in DeFi

activities across the spectrum.

The open consultation from the government states,

“In particular, the government is interested in ascertaining whether administrative burdens and costs could be reduced for taxpayers engaging in this activity, and whether the tax treatment can be better aligned with the underlying economics of the transactions involved.”

The U.K. government is updating its stance on crypto. In April, the government announced

plans to launch the first ever Royal Mint. U.K. Chancellor, Rishi Sunak said:

“It’s my ambition to make the UK a global hub for cryptoasset technology… This is part of our plan to ensure the UK financial services industry is always at the forefront of technology and innovation.”

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