The UK and more than 40 other countries have started a new global system to track crypto taxes. The goal is simple. Make it more difficult for crypto investors to evade tax authorities.
From January 1, major crypto exchanges in the UK must now collect full transaction records for users. This includes the amount of cryptocurrency investors bought, the amount they sold, and any profits they made. Additionally, exchanges must also record where users pay tax and send that information to HM Revenue and Customs.
These rules are part of a global plan created by the Organisation for Economic Co-operation and Development, known as the Cryptoasset Reporting Framework, or CARF. The UK is among the first 48 countries to put the system into action.
According to the Financial Times, the UK and over 40 other countries began enforcing new crypto tax reporting rules on January 1 under the OECD’s Cryptoasset Reporting Framework (CARF). Major exchanges must collect and report UK users’ transaction data and tax residency to HMRC.…
— Wu Blockchain (@WuBlockchain) January 1, 2026
Crypto Data Will Be Shared Globally
For now, exchanges are collecting data. The bigger change comes next. From 2027, HMRC will begin automatically sharing crypto data with other tax authorities. This includes all European Union countries, as well as places like Brazil, South Africa, and the Cayman Islands.
In total, 75 countries have agreed to adopt the rules. Major crypto hubs such as the UAE, Singapore, Hong Kong, and Switzerland plan to join later. Some reports expect the United to follow after that.
Moreover, tax experts say this marks a major shift. Crypto investing is no longer private in the way many users once believed. Governments will now have a much clearer picture of who is making money and where.
What This Means for UK Crypto Investors
UK policies tax crypto profits under capital gains tax, once they pass the £3,000 annual allowance. In some cases, the rules tax frequent trading as income.
Crypto tax data collection has officially started across 48 jurisdictions, well ahead of CARF going live in 2027
This isn’t FUD – it’s infrastructure
Governments are laying the rails for automatic crypto information sharing, just like CRS did for banks
➤ On/off-ramps will get… pic.twitter.com/ziV7CpeKoF
— BlockchainBaller (@bl_ockchain) January 2, 2026
HMRC has already increased enforcement. It has sent more warning letters, added a crypto section to tax returns, and encouraged voluntary disclosures.
With global data sharing coming, experts say crypto investors should take compliance seriously. The era of quiet crypto gains is ending.