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NFTs were seized by the UK tax authorities for the first time, and it’s a good thing

NFTs were seized by the UK tax authorities for the first time, and it’s a good thing

The tax authority seized three NFTs as part of the £1.4M fraud case. The tax department in the United Kingdom, HMRC says That they are the first authority in the country to seize an NFT (Nonfungible token, which is a piece of data stored on the blockchain) This happened because of a roughly $1.9 million fraud. They seized around $6,762 with three NFT’s yet to be valued.

As the hype for cryptocurrencies and NFTS have grown in recent months, Big seizures by authorities have also become very common. Just like this month, the US Department of Justice seized $3.6 billion worth of cryptocurrencies linked to a 2016 Bitfinex hack.

HMRC HOPES IT “SERVES AS A WARNING TO ANYONE WHO THINKS THEY CAN USE CRYPTO ASSETS TO HIDE MONEY”

Cr: CNBC

According to Nick Sharp (HMRC’s deputy director of economic crime), the authority “constantly adapt[s] to new technology to ensure we keep pace with how criminals and evaders look to conceal their assets.” This fraud is alleged to have involved 250 fake companies, and the three suspects used everything from fake addresses, prepaid phones, VPNs, and stolen identities to hide their activities from HMRC.

This fraud seizure was the first of the Start of many other seizures of NFT’s By authorities. Recently, an IRS special agent also said that the agency is focusing on cryptocurrency assets because of the fraud mountains that they are seeing in this area of the market.

NFTs were seized by the UK tax authorities for the first time, and it’s a good thing

NFTs were seized by the UK tax authorities for the first time, and it’s a good thing

The tax authority seized three NFTs as part of the £1.4M fraud case. The tax department in the United Kingdom, HMRC says That they are the first authority in the country to seize an NFT (Nonfungible token, which is a piece of data stored on the blockchain) This happened because of a roughly $1.9 million fraud. They seized around $6,762 with three NFT’s yet to be valued.

As the hype for cryptocurrencies and NFTS have grown in recent months, Big seizures by authorities have also become very common. Just like this month, the US Department of Justice seized $3.6 billion worth of cryptocurrencies linked to a 2016 Bitfinex hack.

HMRC HOPES IT “SERVES AS A WARNING TO ANYONE WHO THINKS THEY CAN USE CRYPTO ASSETS TO HIDE MONEY”

Cr: CNBC

According to Nick Sharp (HMRC’s deputy director of economic crime), the authority “constantly adapt[s] to new technology to ensure we keep pace with how criminals and evaders look to conceal their assets.” This fraud is alleged to have involved 250 fake companies, and the three suspects used everything from fake addresses, prepaid phones, VPNs, and stolen identities to hide their activities from HMRC.

This fraud seizure was the first of the Start of many other seizures of NFT’s By authorities. Recently, an IRS special agent also said that the agency is focusing on cryptocurrency assets because of the fraud mountains that they are seeing in this area of the market.