UK LawTech Delivery Panel publishes legal statement: cryptoassets constitute property under common law principles

There are today at least 2,352 different types of cryptocurrencies being traded on various exchanges. As legislators, regulators, financial institutions, and other businesses have been seeking to understand the opportunities and risk presented by cryptocurrencies, smart contracts, and other fast-moving Fintech developments since the launch of Bitcoin around 10 years ago, on 18 November 2019 the UK Jurisdiction Taskforce of the Lawtech Delivery Panel published a Legal Statement in relation to cryptoassets and smart contracts, following a period of public consultation. The Legal Statement concludes that cryptoassets should generally be considered, and are, a form of personal property under English law.

This Legal Update summarises the key features of the Legal Statement and explores some of its potential implications and consequences.