The UK’s crypto regulation reached a major milestone on Tuesday after the Property (Digital Assets etc.) Act 2025 received Royal Assent from King Charles III, legally recognizing digital assets as a form of property.
The short bill, which passed both houses of Parliament without amendment, confirms that digital holdings such as bitcoin and stablecoins can be the subject of property rights distinct from traditional categories of physical objects or contractual rights.
"A third category of property now exists and it finally gives legal protection to the sats you hold," said Susie Ward, the CEO of Bitcoin Policy UK, a crypto advocacy group in the country. Its Chief Policy Officer, Freddie New, also welcomed the passage, calling it possibly "the biggest change in English property law" since the Middle Ages.
The Law Commission, an independent statutory body in the UK, first recommended the reform in 2023. The bill was introduced to the House of Lords in September 2024.
CryptoUK, the country's first crypto and blockchain industry trade association, said on X that UK courts have already been treating crypto as property through case-by-case judgments. Having that actually written into law will provide clearer legal pathways for crypto-related crimes or litigations, the association said.
"This gives digital assets a much clearer legal footing — especially for things like proving ownership, recovering stolen assets, and handling them in insolvency or estate cases," CryptoUK wrote.
Meanwhile, the Bank of England recently launched a consultation on a proposed regulatory regime for sterling-denominated stablecoins, noting that it is "a significant step" in preparing for a future where digital money is widely used for payments.
Bank of England Deputy Governor Sarah Breeden said that the country aims to catch up to the U.S. in terms of stablecoin regulation, and said new rules will be operational "just as quickly as the U.S.," Bloomberg reported last month.
