This marks the first time that HMRC has released guidance specifically describing how staking is treated for taxation purposes. It has been assumed previously that staking comes under the umbrella of mining, thus the same guidance has applied.
U.K. users of the exchange who have received £5,000 or more in the past tax year will have their information passed to the tax authority.
After clarifying how individual taxpayers should deal with cryptos last year, the U.K.'s HMRC has now issued guidance for enterprises.
The U.K. tax authority is pressuring crypto exchanges to reveal customers' names and transaction histories in a bid to claw back unpaid taxes, sources said.
U.K. tax body HMRC has provided an in-depth explanation of how cryptocurrency users should pay taxes on their holdings.
Indeed, getting the bitcoin community to agree what regulation is welcome will likely be a challenge all in itself.
New reports suggest HMRC will formally remove VAT on bitcoin trading in the UK this week.
The UK's Financial Services Compensation Scheme has warned it won't compensate lost digital currencies such as bitcoin and litecoin.
The UK authority is likely to reclassify bitcoin as a 'private currency' and thus significantly reduce its tax liability.
HM Revenue and Customs has backtracked on its previous classification of bitcoin as a taxable 'voucher'.
Bittylicious, a UK platform that supplies buyers with bitcoins at a premium price, will sell feathercoins in December.
Vikings and core bitcoin code nurturing - John Law looks at the week's events in the cryptocurrency world.
Bitcoin exchanges operating in the UK do not have to register with HM Revenue & Customs under money laundering regulations.
Police officers, spies and tax collectors from Her Majesty's Revenue and Customs met in London yesterday to discuss approaches to alternative currencies.