From 1 January 2026, cryptocurrency platforms in the UK will be legally required to collect and verify user data, including full name, date of birth, country of residence, and tax identification number.
HMRC announced the update in a LinkedIn post warning that “wrong or missing details could mean a penalty, additional fines, and account restrictions.” The new measures form part of the UK’s adoption of the Cryptoasset Reporting Framework (CARF), designed to bring greater transparency to digital asset holdings and transactions.
What the HMRC Guidance Says
According to HMRC, the rules apply to all “reporting cryptoasset service providers” — such as exchanges, brokers and wallet platforms. Providers must begin collecting user information from 1 January 2026, and submit their first reports by 31 May 2027, covering all transactions in the 2026 calendar year.
The government guidance states: “You’ll need to collect information about all individual users… including their name, date of birth, home address, country of residence, and tax identification number.” HMRC adds that these details are essential to help ensure taxpayers report crypto gains accurately.
What It Means for Crypto Users
The move brings UK crypto rules in line with global OECD standards, closing tax-evasion loopholes and boosting cross-border data sharing. While most regulated exchanges already conduct Know-Your-Customer (KYC) checks, the new regime introduces stricter verification and reporting obligations. HMRC advises: “You may want to start collecting information earlier to prepare for the new rules.”
For investors, that means ensuring personal and tax details are up to date, or risk penalties, frozen accounts, and delayed withdrawals when the framework comes into force.
You can see more info on HMRC’s website here.
Richard is the founder of the Good Money Guide (formerly Good Broker Guide), one of the original investment comparison sites established in 2015. With a career spanning two decades as a broker, he brings extensive expertise and knowledge to the financial landscape.
Having worked as a broker at Investors Intelligence and a multi-asset derivatives broker at MF Global (Man Financial), Richard has acquired substantial experience in the industry. His career began as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson), following internships on the NYMEX oil trading floor in New York and London IPE in 2001 and 2000.
Richard’s contributions and expertise have been recognized by respected publications such as The Sunday Times, BusinessInsider, Yahoo Finance, BusinessNews.org.uk, Master Investor, Wealth Briefing, iNews, and The FT, among many others.
Under Richard’s leadership, the Good Money Guide has evolved into a valuable destination for comprehensive information and expert guidance, specialising in trading, investment, and currency exchange. His commitment to delivering high-quality insights has solidified the Good Money Guide’s standing as a well-respected resource for both customers and industry colleagues.
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