Summary
- According to HMRC, 240 individuals reported over £1 million each in cryptoasset capital gains for the 2024-25 tax year, totaling £717 million among them.
- In total, 17,600 individuals reported crypto disposals, resulting in £1.38 billion in taxable gains from £13.8 billion in proceeds.
- Starting in 2027, exchanges will be required to report customer data to the tax authority under a new OECD framework.
The latest data from HM Revenue & Customs (HMRC) reveals that a small number of individuals dominate crypto gains in the UK.
Specifically, 240 individuals declared capital gains exceeding £1 million each from cryptoassets in the 2024-25 tax year, as reported by HMRC on Thursday, with a combined total of £717 million. This elite group represents less than 2% of the 17,600 individuals who reported crypto disposals, yet they accounted for more than half of the total £1.38 billion in gains and £13.8 billion in proceeds, according to HMRC's statistical report.
Just like any other gains, taxes are applicable to cryptoasset gains. 📈
Our focused efforts on cryptoassets, including clear guidance and social media engagement, have enhanced taxpayers' understanding of their obligations, leading to an additional £168 million in Capital Gains… pic.twitter.com/TOdHfM87Xp
— HM Revenue & Customs (@HMRCgovuk) August 27, 2026
Conversely, 65% of individuals who reported crypto gains declared amounts under £25,000, contributing to just 7% of total gains and 8% of the proceeds.
This data is newly available due to the Self Assessment return now featuring a specific section for cryptoasset disposals, which were previously categorized alongside other assets.
Younger and Predominantly Male Demographic
The demographic of crypto taxpayers significantly differs from that of the broader capital gains taxpayer population. Approximately 54% of crypto taxpayers are aged between 25 and 44, compared to only 17% of the general capital gains taxpayers, with 81% being 54 years old or younger.
This younger group engages more in trading but tends to earn less from it. Individuals aged 25 to 44 are responsible for 71% of all crypto disposal proceeds but account for just 45% of the total gains.
Myriad: How high will Bitcoin go? Click to make your prediction.Furthermore, men constituted 87% of those reporting crypto gains, in contrast to 56% of all capital gains taxpayers, and accounted for 93% of the reported gains.
Despite the attention on crypto, it remains a minor component of the overall capital gains landscape. Total capital gains reached a record £127 billion in 2024-25, generating £24.2 billion in taxes. However, HMRC is unable to specify how much of this total was derived from crypto, as cryptoasset liabilities are not distinctly categorized from other taxed assets.
Upcoming Changes from HMRC
Under the OECD's Cryptoasset Reporting Framework, which the UK began implementing in January, service providers will be required to submit customer information to tax authorities. HMRC is set to start receiving this data in 2027, with non-compliant providers facing penalties of up to £300 per user.
"Just as with any other gains, taxes are due on cryptoasset gains," emphasized James Murray, Financial Secretary to the Treasury.
Conversely, other regulations are shifting in the opposite direction: the Treasury plans to defer capital gains tax on DeFi lending and liquidity pool deposits until assets are actually disposed of. Gains exceeding the allowance for 2025-26 must be reported by January 31, 2027.