The United Kingdom has brought a new bill to Parliament striving to “seize, freeze and recover crypto assets” that are used by organized criminals to launder profits from drugs, fraud, and cybercrime. The government announced that a new bill was introduced to Parliament on September 22. This is by far the largest upgrade to the powers of the Companies House in 170 years and will enable the authorities to seize, freeze, and recover illegal crypto.
The Economic Crime and Corporate Transparency Bill got its first reading in the British Parliament on Thursday. This proposed law would majorly boost the authority of the UK’s Companies House in the management of companies registered in Scotland and England and grow the law enforcement’s ability to prevent crypto-related illegal activity.
“Notably, the new law will make it easier and quicker for law enforcement agencies such as the National Crime Agency to seize, freeze and recover crypto assets – the digital currency increasingly used by organized criminals to launder profits from fraud, drugs and cybercrime.”
“The use of this digital currency has significantly increased in recent years, with the Metropolitan Police reporting a big rise in cryptocurrency seizures last year. Strengthening powers in the Proceeds of Crime Act will modernize the legislation to ensure agencies can keep pace with the rapid technological change and prevent assets from funding further criminality.”
This is not the first major effort to regulate digital assets more severely coming out of the UK in 2022. Earlier in the year, the nation introduced a new law that targeted stablecoins in the wake of UST’s collapse. Earlier in the week, the United States appeared to be taking a similar approach as it was said that the House was working on a bill that could entirely ban algorithmic stablecoins for two years.
The UK bill is also aimed at preventing the abuse and undermining of limited partnerships. It makes a special notice that the increase of authority provided by the proposed law will also be in effect in Scotland. This bill had its first reading in Parliament on Thursday. The next step toward signing it into law will come in the form of the second reading scheduled to happen on October 13.Buy Crypto Now
The UK Aims To Boost Its Ability To Enforce Sanctions On Russia
This announcement also made special mention of sanctions imposed on Russia over its invasion of Ukraine. Russian oligarchs have been using Great Britain as a refuge for themselves and their assets. Moreover, various elements of the United Kingdom’s implementation of sanctions have been termed absurd.
The bill strives to accelerate the freezing and seizing of the assets of Russian billionaires. Britain is already actively pursuing the creation of such a policy. In that context, it froze the assets of many oligarchs – including Roman Abramovich, the former owner of Chelsea – quickly after the invasion started.
“The package of measures will build upon the earlier Economic Crime (Transparency and Enforcement) Act, brought in following Russia’s invasion of Ukraine. The act has made it much quicker to impose tough sanctions on Putin’s cronies – freezing their UK assets and cutting off funds to the Kremlin’s war machine.”
It has also established the recently launched Register of Overseas Entities to eliminate corrupt oligarchs trying to hide ill-gotten monies through UK property.