The UK has invited the public to discuss the possibility of introducing taxes on cryptocurrency lending and staking in the decentralized finance industry (DeFi).
The UK's HM Revenue and Customs (HMRC) is reportedly looking into whether there is potential for cost savings for taxpayers participating in an emerging industry.
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The regulator is reportedly also interested in the issue of aligning the tax regime with the fundamental economics of transactions.
The HMRC will collect information from investors, professionals and organizations involved in DeFi-related activities, including technology and financial firms, trade associations, educational institutions and think tanks, as well as legal and consulting firms in the accounting and tax fields.
Based on the results of the public consultations, which will last until August 31, the HMRС will issue a report detailing next steps.