Bitcoin News Today: Reform UK's Crypto Play Challenges UK Political Status Quo

Nigel Farage, the leader of Reform UK, is increasingly positioning himself as a crypto-friendly political force in the United Kingdom, drawing comparisons to U.S. President Donald Trump's embrace of the digital asset industry. At a recent London crypto conference, Farage confirmed that his party has begun accepting cryptocurrency donations, though he denied emulating Trump's strategy, emphasizing his own long-standing support for crypto dating back to 2020, according to Reuters. Reform UK, despite holding only five of 650 parliamentary seats, leads in public opinion polls, signaling a potential shift in the UK's political landscape as the party seeks to challenge the dominance of Labour and the Conservatives.

Farage's pro-crypto rhetoric extends beyond fundraising. During the same event, he vowed to oppose central bank digital currencies (CBDCs), calling them a "total and utter horror" and even declaring he would "go to prison" to block their implementation under a digital ID system, according to The Block. His stance aligns with Reform's broader platform, which includes plans to introduce a "Crypto Assets and Digital Finance Bill" if the party wins the next general election by 2029. Key proposals include establishing a Bitcoin digital reserve at the Bank of England, reducing capital gains tax on crypto from 24% to 10%, and banning banks from closing accounts for crypto-related transactions.

The UK already holds the third-largest sovereign bitcoin stash globally, with 61,245 BTC ($6.5 billion) in seized assets, according to estimates by Bitcoin Treasuries. However, the government has not disclosed where these holdings are stored, citing security concerns. Farage has raised alarms that Labour Chancellor Rachel Reeves might sell the assets to address fiscal challenges, further underscoring Reform's push to institutionalize crypto's role in the economy.

Farage's appeal to crypto supporters is part of a broader strategy to rebrand Reform UK as a champion of financial innovation. The party became the first in the UK to accept crypto donations in May 2025, with chair Zia Yusuf even suggesting that the HM Revenue and Customs (HMRC) should allow tax payments in digital assets. This move taps into a growing demographic: estimates suggest 12% to 25% of UK adults now own crypto, mirroring the industry's influence in U.S. politics under Trump.

While the UK government has adopted a phased approach to crypto regulation, Reform's aggressive stance reflects a growing divide between traditional political parties and a tech-savvy electorate. With Reform polling at 30.4% voting intention-well ahead of Labour and the Conservatives-the party's crypto-centric policies could reshape the UK's regulatory landscape and global positioning in the digital asset space.