Enhanced crypto seizure powers granted to British law agency
The UK government has implemented stronger measures for the National Crime Agency (NCA) and the police to confiscate and freeze cryptocurrency used by criminals.
Under the new powers, the NCA will no longer require an arrest to seize cryptocurrency from a suspect, as these enhanced measures aim to combat crypto-related crime more effectively.
In an official statement on April 26, the UK government announced updates to the proceeds of crime and terror legislation, enabling law enforcement agencies to investigate, seize, and recover illicit cryptocurrency more efficiently. This marks a significant change in the country’s approach to tackling illegal activities involving cryptocurrency.
The changes include allowing the police to seize cryptocurrency without making an arrest, enabling the confiscation of items that assist in investigations, and transferring illicit cryptocurrency into a controlled digital wallet that criminals cannot access. Furthermore, law enforcement officials can now seize “items that could provide information to aid an investigation, such as written passwords or memory sticks.”
According to the NCA, organized criminals, including drug traffickers, fraudsters, and terrorists, increasingly use cryptocurrency to launder illegal proceeds and raise funds. It is estimated that illicit cryptocurrency transactions linked to the UK amounted to at least £1.2 billion (approximately $1.5 billion) in 2021.
With the latest update, the British law enforcement agency aims to prevent criminals from undermining the legitimate use of cryptocurrency while also supporting its potential role as a driver of economic growth.
Read more: British citizen convicted in $6 billion Bitcoin fraud scheme.
