The United Kingdom has officially established digital assets as a new category of property, enacting a law hailed by some experts as the most significant change to English property law since the Middle Ages.
The Property (Digital Assets etc.) Act 2025 received Royal Assent from King Charles III on Tuesday, making it a formal statute.
This legislative move codifies what was previously handled on a case-by-case basis in British courts. It creates a specific legal status for assets like Bitcoin, stablecoins, and non-fungible tokens (NFTs).
Freddie New, Policy Director at Bitcoin Policy UK, described the change as “possibly the biggest change in English property law since the Middle Ages.”
The law formalizes a third category of property, distinct from physical objects and traditional contractual rights.
The legislation provides greater clarity and protection for consumers and investors. It ensures digital assets can be owned, recovered in cases of theft or fraud, and incorporated into insolvency or inheritance processes.
Industry groups have welcomed the development. CryptoUK, the British crypto trade association, stated the law “provides greater clarity and protection for consumers and investors.”
Gurinder Singh Josan, a Member of Parliament and co-chair of the All-Party Parliamentary Group on Crypto and Digital Assets, emphasized that it grants “clear property rights, stronger protections, and the ability to recover assets lost to theft or fraud.”
Susie Ward, CEO of Bitcoin Policy UK, highlighted the practical impact, stating it “finally grants legal protection to the digital currency holdings you own.”
The new law responds to a 2023 recommendation from the UK Law Commission. It was initially introduced in the House of Lords in September 2024.
This move aligns with the UK’s ambition to position itself as a global hub for financial innovation. Experts anticipate this foundational law will pave the way for further complementary regulations concerning digital asset custody and transactions.