Introduction – 240 crypto tax millionaires
HMRC has published its first detailed breakdown of cryptoasset capital gains, revealing that 240 individuals declared gains exceeding £1 million each in the 2024-25 tax year… collectively accounting for more than half of all reported crypto gains in the UK.
The statistics, published on 27 August 2026 as part of HMRC’s annual Capital Gains Tax data, offer an unprecedented glimpse into the crypto wealth concentrated in British hands.
… and with new international reporting requirements coming into force, those who have been economical with their disclosures may find their digital chickens coming home to roost.
The Numbers
The headline figures are striking:
- 240 individuals declared more than £1 million in cryptoasset capital gains
- These crypto millionaires reported £717 million in gains between them
- Across all taxpayers, 17,600 individuals reported crypto disposals
- Total reported cryptoasset gains: £1.38 billion
- Total disposal proceeds: £13.8 billion
- Average gain per individual: approximately £78,000
The concentration is remarkable.
Those 240 millionaire filers represent less than 2% of all crypto declarants but account for 52% of total reported gains.
The crypto wealth pyramid, it seems, is pointy at the top. Extremely pointy.
Demographics of the Crypto Rich
HMRC’s data confirms what many suspected. This is that the crypto-wealthy are overwhelmingly male. Approximately 87% of individuals reporting cryptoasset gains were men, with women accounting for just 13%.
This gender disparity is even more pronounced than in traditional investment markets and likely reflects the demographics of early crypto adoption.
Whether this will shift as cryptocurrency becomes more mainstream remains to be seen, but for now, the crypto millionaire club is very much a boys’ club.
Why This Data Matters
This is the first time HMRC has published this level of detail on crypto gains, following the introduction of a dedicated section in the Self Assessment return for cryptoasset capital gains.
Previously, crypto disposals were reported through the general capital gains pages, making it impossible to isolate crypto-specific data.
The publication serves several purposes beyond mere transparency:
- Sending a message — HMRC is watching the crypto space closely and has the data to prove it
- Benchmark for compliance — The figures give HMRC a baseline against which to measure future declarations
- Encouraging voluntary disclosure — Anyone who hasn’t been declaring their crypto gains should be feeling nervous right about now
The Tightening Net
The publication comes at a significant moment.
From January 2026, the UK began implementing the Cryptoasset Reporting Framework (CARF), an OECD-developed international standard requiring crypto service providers to report customer information to tax authorities.
From 2027, HMRC will start receiving this data, allowing it to cross-reference declared gains against exchange records. Service providers that fail to comply face penalties of up to £300 per user… a strong incentive for exchanges to cooperate fully.
James Murray MP, Financial Secretary to the Treasury, made the government’s position clear:
“Taxes are due on cryptoasset gains just like any other gains, and we want to make sure people making gains from crypto know about what taxes they owe.”
HMRC’s Permanent Secretary, John-Paul Marks, added:
“As new international reporting rules come into force, it’s more important than ever for people to check they are paying any tax owed.”
Translation – if you’ve been playing fast and loose with your crypto declarations, the window to get compliant is closing rapidly.
What Triggers a Tax Charge?
For anyone still uncertain, HMRC’s position on crypto taxation is clear and has been for several years:
- Selling cryptoassets – Capital Gains Tax applies on any gain
- Exchanging one crypto for another – This is a disposal for CGT purposes
- Using crypto to pay for goods or services – Also a disposal
- Giving crypto away – A disposal (unless to a spouse, civil partner or charity)
- Mining, staking, or airdrops – May be subject to Income Tax
- Employment paid in crypto – Subject to Income Tax and NICs
The annual exempt amount for Capital Gains Tax in 2025-26 is a mere £3,000… down from £12,300 just three years ago.
This means far more disposals now trigger a tax liability.
The Disclosure Window
Anyone with undeclared crypto gains has options. HMRC operates a Crypto Disclosure Service, allowing taxpayers to voluntarily declare unpaid tax.
Voluntary disclosure typically results in lower penalties than HMRC-initiated investigations.
The calculus is straightforward. With CARF data flowing from 2027, HMRC will have independent verification of exchange activity. Anyone whose declared gains don’t match their exchange records will face awkward questions… and potentially significant penalties for deliberate non-compliance.
Getting ahead of this by making a voluntary disclosure now is likely to result in a far better outcome than waiting to be caught.
Compliance Revenue Already Flowing
HMRC notes that it estimates an additional £168 million of Capital Gains Tax was generated in 2024-25 “as a direct result of compliance and education activity” on cryptoassets.
This includes its social media campaigns, updated GOV.UK guidance, and nudge letters sent to suspected non-compliers.
The Revenue is clearly pleased with these results and will undoubtedly intensify its efforts. The combination of better data, increased resources, and a clear political mandate to close the tax gap means crypto compliance will remain a priority for years to come.
The Takeaway
For those who have been diligently declaring their crypto gains, this data merely confirms what they already knew – they’re doing the right thing while others cut corners.
For those who haven’t been quite so careful, the message is clear. HMRC knows crypto exists. HMRC is getting increasingly detailed data on crypto activity. And HMRC is, quite possibly, coming for you.
The time to get your crypto tax affairs in order is now and not when HMRC’s CARF data reveals the gap between what you declared and what the exchanges reported.