At a London conference this week, Reform UK leader Nigel Farage cast himself as “your champion” for digital assets and sketched a platform that includes a flat 10% capital gains tax on crypto, creation of a roughly £5 billion state Bitcoin reserve anchored in seized coins, a halt to the Bank of England’s digital pound project, and optional tax payments in crypto.
The pitch mirrors three policies associated with Donald Trump’s crypto campaign, including opposition to a central bank digital currency, overt alignment with miners and industry, and White House signaling around digital asset strategy that framed leadership in financial technology as a federal priority.
However, the channel is clear in the United States, where policy rhetoric has repeatedly shown up in spot Bitcoin ETF flows that feed demand at scale.
The UK policy machine runs on a different clock.
The Bank of England and HM Treasury remain in the design and exploration phase for a potential digital pound, with no decision to proceed, according to the Bank’s latest progress update last week, the Bank of England says.
Near-term attention is on a regulated stablecoin perimeter and custody rules moving through consultation, per the Financial Conduct Authority’s CP25/14.
In parallel, the UK is preparing to permit tokenized investment funds, which provides a bank and asset-manager-friendly on-ramp independent of campaign messages.
Power, process, and timing limit the translation of Reform UK’s platform into policy.
Following the 2024 general election, Reform holds just five seats out of 650, while Labour governs with a large majority.
UK tax rates require a Finance Bill. The government sets the reserves framework with the Bank acting as agent, and primary legislation and secondary instruments pass both the Commons and Lords.
The next general election is not due until August 2029 under the Dissolution and Calling of Parliament Act.
In this Parliament, a minor party cannot direct BoE or HMT polic
Go to Source to See Full Article
Author: Liam ‘Akiba’ Wright
