We ask HM Treasury to create a Strategic Cryptocurrency Reserve using cryptocurrency, such as Bitcoin, lawfully confiscated, forfeited, or already held by the state, rather than automatically selling it. We think it could strengthen long term fiscal resilience and UK digital competitiveness by 2030.

The UK Government currently confiscates and sells cryptocurrency such as Bitcoin obtained through criminal seizures and forfeiture. We believe HM Treasury should instead establish a Strategic Cryptocurrency Reserve using lawfully confiscated or state held cryptocurrency, similar to how nations manage strategic assets. Rather than automatically selling cryptocurrency, the UK should assess if retaining a portion in the Bank of England could strengthen long term fiscal resilience, financial innovation, rivalry and national security.