#DigitalAssetBill

The Digital Asset Bill, formally known as the Property (Digital Assets etc) Bill, aims to clarify the legal status of digital assets like cryptocurrencies, non-fungible tokens (NFTs), and carbon credits. Introduced in Parliament on September 11, 2024, the bill seeks to provide greater legal protection for owners and companies dealing with these assets.¹

*Key Provisions:*

- *Recognition of Digital Assets as Personal Property*: The bill confirms that certain digital assets can be recognized as personal property, even if they don't fit into traditional categories of property law.

- *Increased Legal Protection*: Owners and companies will benefit from increased legal protection against fraud and scams, and judges will be better equipped to handle complex cases involving digital assets.

- *Certainty and Clarity*: The bill aims to provide certainty and clarity for individuals and businesses dealing with digital assets, particularly in cases of disputed ownership or settlements.²

*Benefits:*

- *Attracting Investment and Business*: By providing a clear legal framework, the UK can maintain its position as a global leader in the crypto industry and attract more business and investment.

- *Reducing Litigation Costs*: The bill can decrease litigation costs by removing the need to decide whether a digital asset can be considered property.

- *International Alignment*: The bill aligns with international approaches, including those in Singapore, New Zealand, and the United States.

*Current Status:*

The bill is currently in the House of Lords and has been committed to a special public bill committee. If passed, it will bring significant changes to the way digital assets are treated under English and Welsh law.