The UK tax authority, HM Revenue & Customs (HMRC), said it will apply a "no gain no loss" tax treatment to cryptocurrency lending and liquidity pools starting April 6, 2027. According to the brief update carried by ChainCatcher, the change is expected to affect around 700,000 people. The notice identifies crypto lending and liquidity pool activity as the scope of the new treatment and gives a specific effective date. No additional implementation details were provided in the source text. The update was categorized under market analysis by ChainCatcher.

Global digital-asset policy and market developments accelerated between July 14 and July 15. The UK’s HM Revenue & Customs said certain crypto lending and automated market maker liquidity pool arrangements will receive “no gain, no loss” tax treatment from April 6, 2027, with capital gains tax deferred until a user makes a substantive economic disposal. In Europe, the European Central Bank selected 36 payment service providers for a digital euro pilot scheduled to begin in the second half of 2027 and run for 12 months across the ECB and 19 euro-area central banks. The U.S. and U.K. also issued a joint digital-asset roadmap backing regulated stablecoins, tokenized deposits, consumer protections, and work on cross-border financing options. Outside direct rulemaking, trading and infrastructure platforms rolled out new products and features. Interactive Brokers expanded crypto trading support by 12 tokens and enabled withdrawals of USDC, PYUSD, and RLUSD to external wallets. Binance Alpha Box launched an airdrop event featuring Orochi Network and Metaplex tokens. On-chain flows remained active as Grayscale moved 852.7 BTC to Coinbase Prime, while the U.S. government transferred additional assets tied to Bitfinex and FTX/Alameda seizures. Kalshi introduced an AI compute forward-pricing tool even as the CFTC moved to block Michigan from forcing cancellations of executed trades involving state residents. Broader corporate and stablecoin competition also stayed in focus, with new funding rounds, ETF filings, and fresh scrutiny on Circle’s economics.

The UK’s HM Revenue & Customs has set out a new tax approach for certain cryptoasset lending and liquidity pool transactions, saying those disposals will be treated on a no-gain-no-loss basis rather than triggering an immediate Capital Gains Tax charge. Under the policy paper published Monday, tax recognition will generally be deferred until a participant makes an economic disposal of the underlying cryptocurrency. The measure takes effect on April 6, 2027 and applies to individuals and trustees using cryptoasset loan arrangements and liquidity pool structures. It amends the Taxation of Chargeable Gains Act 1992 and covers three situations: single cryptoasset lending arrangements, borrowing arrangements, and automated market maker liquidity pools operated through smart contracts. HMRC said gains and losses will only be recognized when the economics of the transaction justify it, with specific rules for borrowed cryptoassets, collateral, and differences between the amount initially contributed and the amount later received. The change follows industry criticism of HMRC’s 2022 guidance, which the policy paper said created disproportionate administrative burdens. After a call for evidence in July and August 2022 and a consultation running from April 27 to June 22, 2023, HMRC published a summary of responses at Budget 2025. The paper says around 700,000 individuals could be affected. HMRC also said the measure is not expected to have a significant macroeconomic impact.

Coinbase told UK users it will provide account data to HMRC, covering customers with a UK address who received more than £5,000 in crypto during the 2019/20 tax year.

This article defines crypto airdrops, traces the first known airdrop (Auroracoin), explains how to create airdrops using SLP tokens, lists platforms to find airdrops, and highlights tax considerations for recipients.

UK cross-party committee urgently recommends banning crypto political donations, citing unacceptable financial risks. Reform UK is the only party receiving such donations, with donor Christopher Harborne contributing £3 million. If passed, the ban could reshape political funding and crypto legality.

A UK cross-party committee proposes an immediate ban on crypto donations to political parties, calling them a high-risk to financial system and political integrity. Reform UK, the sole recipient, received ~£3M. The ban could impact political finance and crypto adoption.

The UK cross-party committee recommends an immediate ban on cryptocurrency political donations to mitigate financial risks and foreign interference. Reform UK faces scrutiny for receiving large crypto contributions, with Committee Chair warning of corrosive long-term effects on political integrity.