UK to Sell Billions of Seized Bitcoin to Tackle Budget Deficit

The UK government is preparing to sell a substantial amount of Bitcoin (BTC), valued at several billion pounds. These digital assets were taken over the years during police investigations into crimes. This decision comes as UK leaders are seeking new sources of funding amid rising national debt and economic uncertainty. Seized Bitcoin Could Provide Billions in Revenue Over the years, UK authorities have seized large amounts of digital assets linked to criminal activity . In many cases, these assets are stored securely until legal proceedings are complete. Once the courts approve, the government can sell the digital assets. While police agencies carry out the seizures and sales, the Treasury closely monitors the process. These funds would typically be shared between the government and law enforcement. However, any money owed to fraud victims would be paid out first. Analysts estimate that the Treasury could earn billions from these upcoming sales. One of the most significant Bitcoin seizures happened in 2018, tied to Chinese fraudster Jian Wen. That case is still under review, with the victims requesting restitution. If the government were to keep half of the remaining haul, it could be worth as much as £2.6 billion. Former Chancellor Norman Lamont has publicly suggested that the money should be spent quickly. Others, however, warned against rushing, reminding people of the 1999 gold sale that cost the UK billions after prices later soared. Experts Say Seized Digital Assets Are a Hidden Resource A growing number of experts believe that seized digital assets, such as Bitcoin, could become a significant source of revenue for governments. This idea is gaining traction globally, as more governments explore ways to convert confiscated cryptocurrency into financial gains rather than letting it sit unused. To prepare for these large-scale crypto asset sales, the UK Home Office has initiated the necessary process. The agency has hired a private firm that will oversee the secure storage, handling, and liquidation of digital assets. The original request for bids offered up to £40 million in commission to the chosen provider. However, the first round of bids failed to meet the government’s strict requirements. Despite this delay, the Home Office plans to relaunch the process in a revised form. Political Debate Over Bitcoin’s Role As the government prepares to sell the seized crypto, political voices have been divided. Reform UK leader Nigel Farage has proposed that Britain establish a national Bitcoin reserve , a plan similar to one backed by U.S. President Donald Trump. The Labour Party has rejected this idea, citing Bitcoin’s price volatility as a significant risk. Still, the financial appeal is clear. Cardiff University professor Michael Levi, a leading expert in asset seizures, warns that the process is not quick. Once digital assets are seized, authorities often need to hold them securely for extended periods until all legal challenges are resolved. The post UK to Sell Billions of Seized Bitcoin to Tackle Budget Deficit appeared first on TheCoinrise.com .

Source: The Coin Rise