Key Takeaways:
- There were over 240 UK taxpayers who declared crypto capital gains of over £1 million in 2024 – 25.
- A total of 17,600 people reported £1.38 billion of crypto asset income after £13.8 billion in crypto capital disposals.
- From 2027, HMRC will have new international reporting rules in place and be able to see information on crypto customers.
The UK’s new taxable crypto gains breakdown has provided a snapshot of the amount of wealth investors have accumulated from cryptocurrencies in the latest tax year.
The figures also point towards a difficult reporting landscape, with the crypto platforms starting to hand over customers’ data to tax authorities through a new international framework.
Crypto Gains Reach £1.38 Billion
According to HM Revenue and Customs (HMRC), 17,600 individuals reported cryptoasset disposals that created a Capital Gains Tax liability in the 2024–2025 tax year.
Together, those taxpayers declared £13.8 billion in disposal proceeds and £1.38 billion in capital gains, producing an average reported gain of about £78,000 per person.
These include cryptoassets such as Bitcoin, Ethereum and Dogecoin. They might not only be selling crypto for pounds, but their disposal could actually be more complex. There may also be tax implications when converting one crypto asset to another, using cryptocurrencies to buy things or services or donating cryptos to recipients other than a spouse, civil partner or charity.
Around 87% of the people who reported crypto gains were male, while about 13% were female.
Read More: BlackRock, JPMorgan, Coinbase Join UK Tokenization Taskforce Targeting $88T RWA Market
240 Taxpayers Report Million-Pound Gains
The most striking statistic is the thousands of winners who’ve won high stakes prizes. A total of 240 people made capital gains of over £1 million each, and between them they declared £717 million in gains with HMRC, the agency on Wednesday said.
That implies that this tiny band made up over half of all crypto gains reported by the 17,600 taxpayers who had reported crypto proceeds.
A further estimate is that HMRC’s work-to-date through compliance and education activities resulted in an additional £168 million of Capital Gains Tax collected in 2024–25. The agency has beefed up crypto-related guidance and outreach since late 2023 to make sure investors transact in crypto properly and report taxable crypto activity.
Crypto Reporting Gets Stricter From 2027
In January 2026, the UK will start using the OECD-funded Crypto-Asset Reporting Framework (CARF).
The framework will require cryptoasset service providers to gather and share data on their customers and operations. This information will begin to be provided to HMRC from 2027, and will provide the tax officer with better tools to discover gains and income which might have been missed.
Failure to report can result in punishment of up to £300 per user for platforms that fail to report.
The tax treatment does not just apply to investment income. Any crypto that is received from employment, self-employment, crypto mining, staking or lending (as examples) could be subject to Income Tax and, if eligible, National Insurance rules.
The new data-sharing system could now make it easier for investors to tip the scales between the activities they engage in and the reporting process. The HMRC claims that people with unreported crypto income or crypto gains have the opportunity to pay outstanding tax through its Crypto Disclosure Service.
Read More: UK Sanctions Hit Huobi Global S.A., HTX Says Exchange Operations and User Funds Remain Safe
The post UK Reveals 240 Crypto Millionaires With £1.38B in Taxable Gains Reported appeared first on CryptoNinjas.
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