The government has published a call for evidence on the taxation of stablecoins. Currently, stablecoins are treated in the same way as other types of crypto asset for tax purposes. To learn more, see ICAEW’s TAXguides 01/24 and 02/24 which explain the rules for individuals and companies respectively.
However, the government recognises that the characteristics of stablecoins, including their price stability, may justify a different tax treatment from other types of crypto asset, reducing administrative burdens for individuals and businesses. The call for evidence asks for feedback on the current tax treatment of stablecoins and options for reform.
What is a stablecoin?
A stablecoin is a type of crypto asset that is backed by another asset or assets (eg, pound sterling; gold) in order to maintain a stable value. Examples of popular stablecoins include Tether and USD Coin, both of which are linked to the value of the US dollar. Stablecoins are typically used for buying and selling crypto assets and making cross-border payments. It is expected that the use of stablecoins as a means of retail payment will increase significantly in the future.
To learn more, visit the Bank of England’s website.
- CGT. Views are sought on which of the following options would be preferred and whether non-sterling-denominated stablecoins should also be included as part of the reforms:
- Treating certain stablecoins as exempt assets and so removing the need to treat disposals as chargeable events for CGT purposes.
- Removing self assessment reporting requirements for transactions of certain stablecoins made below a certain threshold.
- Corporation tax. The government believes there is a case for bringing more transactions within the scope of the loan relationship rules, possibly by treating them as being money or as a money debt or a loan relationship where they do not already constitute one. Feedback is requested on whether reform is needed and, if so, whether it should be limited to sterling-denominated stablecoins.
- Interest-like returns. The government is interested in feedback on whether interest-like returns should be treated in the same way as actual interest for tax purposes.
In November 2025, in response to an earlier call for evidence and consultation on decentralised finance, the government set out a potential approach whereby gains and losses on certain crypto asset disposals would be rolled over into the base cost of a new asset. The government will consider this ‘no gain, no loss’ approach for crypto asset loans and liquidity pools alongside the potential changes summarised above and is interested in feedback on how the two sets of proposals may interact.
Give your views
Responses are required by 7 May 2026. ICAEW will be responding to the call for evidence. If you have feedback that could contribute to ICAEW’s response, please contact Richard Jones by 16 April 2026.
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