UK government introduces bill to clarify ownership of digital assets

A BILL introduced into Parliament yesterday should, the UK government claims, allow digital assets including cryptocurrency, non-fungible tokens (NFTs) and carbon credits to be considered as personal property under the law.

The Property (Digital Assets etc) Bill is also designed to ensure Britain maintains its position in the emerging global crypto race by being one of the first countries to recognise these assets in law.

Previously, digital belongings were not definitively included in the scope of English and Welsh property law – leaving owners in a legal grey area if their assets were interfered with.

The new law should therefore also give legal protection to owners and companies against fraud and scams, while helping judges deal with complex cases where digital holdings are disputed or form part of settlements, for example in divorce cases.

"Our world-leading legal services form a vital part of our economy, helping to drive forward growth and keep Britain at the heart of the international legal industry," said Justice Minister Heidi Alexander.

"It is essential that the law keeps pace with evolving technologies and this legislation will mean that the sector can maintain its position as a global leader in crypto assets and bring clarity to complex property cases."

The bill's introduction also means the UK legal sector should be better armed to respond to new technologies, and hopefully attract more business and investment to the £34 billion-a-year legal services industry.