The British tax authority is pressing cryptocurrency exchanges to disclose their customers' personal data, crypto media outlet Coindesk reported on August 6.
According to the industry sources cited by Coindesk, HM Revenue & Customs asked crypto-related businesses to disclose the names of their customers, as well as their transaction histories, in order to identify potential tax evaders.
One of the sources told Coindesk that the tax authorities might request information from as far back as two or three years ago. However, those individuals who have made some of the largest gains by investing in crypto in the earlier years will reportedly not be affected.
Earlier in July, the UK Financial Conduct Authority (FCA) recommended to restrict the range of cryptocurrency contract for difference (CFD) products sold to retail investors.
Later in the same month, the FCA finalized its policy on crypto. The regulator has clarified that major cryptocurrencies such as Bitcoin and Ethereum do not fall under the UK financial law.