UK rejects Bitcoin reserve law
UK rules out Bitcoin reserves, focuses on blockchain for sovereign debt.
The UK government has formally ruled out the creation of a national cryptocurrency reserve, distancing itself from the path taken by U.S. lawmakers and some state-level governments.
Speaking at the FT Digital Asset Summit in London, Economic Secretary to the Treasury Emma Reynolds said, “We don’t think that’s appropriate for our market,” when asked about the prospect of the UK holding Bitcoin on its balance sheetб, reports Crypto News.
Reynolds’ remarks reflect a conservative stance toward state-level crypto exposure. While some U.S. states are exploring or have proposed Bitcoin reserve strategies, the UK appears more focused on regulatory clarity and financial system integrity.
Blockchain still on the table for debt issuance
Despite rejecting the idea of Bitcoin reserves, Reynolds emphasized that the government remains open to blockchain innovation, particularly in sovereign finance. She revealed that officials are studying the application of distributed ledger technology (DLT) for issuing sovereign debt, indicating that blockchain could still play a significant role in modernizing public finance operations.
Her comments come shortly after she assumed the role of economic secretary, succeeding Tulip Siddiq. Reynolds is now responsible for advancing the UK’s crypto regulatory agenda and the exploration of a central bank digital currency (CBDC).
UK aligns with US on crypto policy, not reserves
Reynolds also pointed to growing UK–U.S. cooperation on digital assets. Recent talks between UK Chancellor Jeremy Hunt and U.S. Treasury Secretary Scott Bessent led to the formation of a new senior-level working group on crypto regulation. This alignment reinforces a shared focus on responsible digital asset integration — though without mirroring the U.S. move toward government crypto holdings.
The UK’s cautious but proactive stance signals a continued push toward becoming a digital asset hub, with institutional experimentation favored over balance sheet exposure.
Recently we wrote that Florida has officially withdrawn two high-profile bills that would have allowed public funds to be invested in Bitcoin, becoming the latest U.S. state to abandon efforts to create a Strategic Bitcoin Reserve.
