UK cracks down on cryptocurrency crime, allowing police to seize crypto assets before conviction

In early March, the UK proposed a revised version of the "Economic Crime and Corporate Transparency Bill," which includes a provision allowing authorities to confiscate, freeze, or even destroy cryptocurrency assets related to illegal activities without the need for prior arrest or conviction. This provision has now officially come into effect.

Pre-seizure and Destruction of Cryptocurrency

According to a report by CoinDesk, under new regulations, UK law enforcement agencies will be able to seize cryptocurrency assets before arresting criminals in the future. The UK Attorney General stated:

This will make it easier to seize known criminal proceeds, investigators, prosecutors must adapt to the constantly changing nature of crime, and the new measures will significantly enhance our ability to restrain and freeze illicit crypto assets.

Aside from being able to transfer seized cryptocurrency assets to wallets controlled by law enforcement agencies, if it is assessed that circulating these assets again would be detrimental to the public interest, they can further destroy the cryptocurrency assets.