The UK abolished the encryption-lending tax: capital gains tax delayed until it was sold

The British Revenue and Customs Administration (HMRC) announced that the capital gains tax would be levied only on the sale of encrypted assets by the holder and not on transfer to a smart contract. The agency will levy income tax on currency received by users through casting, mining, dropping, pledge and interest. This is a demonstration of British efforts to balance deregulation and penalties for non-compliance. HMRC formally introduced the NGNL rule to reform the tax policy of the Decentralised Financial (DeFi) Agreement. The legislation introduced a comprehensive reform of the much-criticized “dry tax” model of 2022, which triggers tax liability every time a token is transferred. The new model, which will take effect on 6 April 2027, is expected to benefit some 700,000 DeFi users。