UK Mandates Crypto Reporting to Combat Tax Evasion

The United Kingdom has implemented a new rule requiring cryptocurrency firms operating within its borders to report detailed user and transaction data from January 1, 2026. This measure is driven by the UK’s commitment to combating tax evasion in the crypto sector. The Crypto Asset Reporting Framework (CARF) mandates this change, aiming to increase transparency and align UK practices with global standards. This initiative aligns with over 40 other nations, including all EU member states, that have implemented similar regulatory frameworks for cryptocurrency transactions.