Cryptoasset regulations have grown more structured over the last few years. This shift is designed to bring clarity to digital transactions and boost public confidence. The changes set out for the 2025/26 tax year highlight the government’s intention to protect consumers and encourage market stability. We want to show what these regulations involve and how to meet your obligations in a clear, straightforward way.
What are the new cryptoasset regulations?
The new regulations respond to the rising adoption of digital currencies, tokens, and related blockchain-based assets. Key elements include updated measures on how firms and individuals must handle cryptoasset transactions. This means closer scrutiny of registration and licensing as well as more detailed reporting to regulatory bodies.
At the same time, the Financial Conduct Authority (FCA) has increased its oversight of marketing standards for cryptoassets. To avoid penalties, businesses promoting token sales or new cryptoasset platforms must follow the updated guidance. According to the FCA’s Cryptoasset Consumer Research 2023, about 10% of UK adults hold or have held cryptoassets. This figure underlines the growing importance of well-defined rules for this market.
Tax rules and compliance for 2025/26
For the 2025/26 tax year, HMRC has indicated that the personal allowance will remain at £12,570. This applies to most taxpayers, though certain high earners will see their allowance tapered down. If you buy or sell cryptoassets, profits will typically be subject to Capital Gains Tax (CGT) once they exceed your annual exempt amount. Under current plans, that allowance is £3,000 for 2025/26, having decreased in recent years.
When you dispose of cryptoassets, you must calculate your gains or losses. If you dispose of multiple holdings, you’ll need to consider pooling rules, which combine the cost of tokens acquired on different dates. HMRC’s guidance on cryptoassets offers further details on calculating your liability, and it’s vital to keep accurate records to prove your calculations.
Tax on income from mining, staking, or receiving cryptoassets as a form of remuneration may be treated under different headings, such as trading or employment income. This categorisation depends on your personal circumstances and the frequency of these transactions.
Market abuse rules and the upcoming conduct regime
The Financial Services and Markets Act includes provisions intended to reduce market manipulation and insider trading. While these measures traditionally apply to securities and derivatives, regulators extend them to certain cryptoassets. The aim is to ensure that anyone dealing in digital tokens follows the same standards as those trading shares on the stock market.
As part of the new conduct regime, individuals in senior roles will have clear obligations around supervision and oversight. Firms must also put in place systems and controls that monitor staff trades, ensure adherence to anti-money laundering (AML) rules, and detect suspicious patterns. These obligations don’t just affect large exchanges – smaller brokers and advisory services are also expected to comply.
Record-keeping and reporting
For businesses dealing in cryptoassets, correct record-keeping is essential. Each trade, transfer, or disposal must be documented with details such as date, token type, transaction value, and any associated fees. This information supports your tax computations and provides evidence in case of queries from regulators.
If you operate through a limited company, you’ll need to make sure your annual filings with Companies House accurately reflect any cryptoassets held on your balance sheet. This includes providing fair valuations and details on any changes in ownership throughout the year.
The role of robust internal systems in crytpoassets
Having structured internal controls can help you meet the new regulatory requirements. This includes:
– Software that tracks each trade and calculates profit or loss in real-time.
– Internal guidelines that address how and when employees can trade digital assets.
– Clear segregation of duties to reduce the chance of misconduct.
These systems reduce errors and help you respond quickly if the FCA or HMRC requests information. They also demonstrate that your business takes compliance seriously, which can foster trust with clients and partners.
Planning for 2025/26 and beyond
We recommend planning early for upcoming deadlines. Review the updated HMRC rules on what sryptoassets declared, how to calculate CGT, and when to file your self assessment return. If you have large holdings or engage in complex transactions, speak with a professional advisor who has expertise with cryptoassets.
Preparing in advance makes it easier to monitor your cashflow and put money aside for tax bills. You can also spot opportunities to use reliefs or allowances, such as the reduced annual CGT exemption, in the most effective way possible. Proper planning may reduce your taxable profits and help you save funds for reinvestment.
How we help businesses and individuals with cryptoassets
At EV Accountants, we work with a range of clients, from part-time traders to larger crypto-focused firms. Our services are tailored to match your goals. We combine modern systems with a hands-on approach to make cryptoasset compliance easier.
You can explore our services to learn more about how we integrate the latest digital tools into your accounting processes. Whether you want to refine your record-keeping or conduct a detailed analysis of your crypto portfolio, we’re here to help.
If you run a business, we can also advise on your internal compliance framework. Our team aims to help you design controls that fit your size and structure. We believe in practical guidance, which means we’ll explain the rationale behind each recommendation and show how it could benefit your operations.
Wrapping up
The 2025/26 tax year brings more defined rules for cryptoassets. Individuals and businesses should prepare for stricter reporting, anti-market abuse measures, and a conduct regime that holds key personnel accountable. A well-organised approach to record-keeping, combined with robust internal systems, will place you in a better position to meet these requirements.
Our team is ready to assist with all aspects of crypto compliance, from tackling day-to-day bookkeeping to helping you stay up to date with changing legislation. We look forward to working with you and helping you protect your interests in this dynamic sector.
If you have questions about handling your cryptoassets under the new regulations, contact us for clear and straightforward support. We offer tailored advice to reduce the risk of unexpected tax bills and regulatory hallenges.