HMRC's Crypto Tax Data Reveals Concentrated Wealth and Compliance Challenges

HM Revenue & Customs has published its first official statistics on taxable cryptoasset capital gains. The data reveals a concentrated wealth profile at the top end of the market, with a small group of high-net-worth investors holding a significant portion of total gains.

The report shows that 17,600 individuals declared capital gains tax (CGT) transactions involving cryptocurrencies such as Bitcoin, Ethereum, and Dogecoin during the 2024/25 tax year. The total disposal proceeds reached £13.8 billion, with total declared capital gains amounting to £1.38 billion.

However, the average declared gain per filer was £78,000, which is heavily skewed by a small group of high-net-worth investors. According to the data, 240 individuals reported gains exceeding £1 million, accounting for 52% of total gains.

The release of this data coincides with HMRC's increased enforcement activity, generating an estimated £168 million in additional CGT revenue during the 2024/25 period. Financial Secretary to the Treasury James Murray noted that tax is due on cryptoassets under the same principles as traditional capital gains.