#DigitalAssetBill The UK government has introduced the Property (Digital Assets etc) Bill to clarify the legal status of digital assets. This bill aims to provide legal protection to owners of digital assets, including cryptocurrencies like Bitcoin, non-fungible tokens (NFTs), and carbon credits, by recognizing them as personal property under English and Welsh law.

*Key Provisions:*

- *Digital Assets as Personal Property*: The bill confirms that digital assets can be considered personal property, despite not fitting into traditional categories of property.

- *Legal Protections*: Owners of digital assets will have enforceable action in cases of fraud and theft, rights in disputes and cases of undue interference, and inclusion in bankruptcy and insolvency procedures.

- *Third Category of Property*: The bill creates a third category of property, in addition to "things in possession" and "things in action," to accommodate digital assets like crypto tokens ¹.

*Benefits:*

- *Increased Clarity*: The bill will bring clarity to complex cases involving digital holdings, including settlements, divorces, or disputed ownership.

- *Improved Security*: The bill aims to improve the security of digital assets against concerns relating to high levels of fraud and scams within the sector.

- *Global Leadership*: The UK aims to maintain its position as a global leader in the crypto industry by being one of the first countries to recognize digital assets in law ².

*Current Status:*

- *Introduced in Parliament*: The bill was introduced in Parliament on September 11, 2024.

- *House of Lords*: The bill is currently going through the House of Lords, with the third reading scheduled for May 8, 2025 ³ ⁴.