Remarkable First: British Tax Authorities Seize NFTs

Remarkable First: British Tax Authorities Seize NFTs

The British tax authorities have seized three works of art in the form of NFTs (non-fungible tokens) in an investigation into large-scale VAT fraud.

 

Three people have also been arrested in the case, the British authorities have announced.

With a non-fungible token, the ownership of digital objects using blockchain can be guaranteed. They are often used to auction digital art, images or video clips online. The same technology is also behind cryptocurrencies such as bitcoin.

The NFTs’ first seizure is “a warning to anyone who thinks they can use crypto assets to hide money” from the tax authorities. It warns Nick Sharp, deputy director of economic crimes at the UK tax authorities.

The tax authorities have not disclosed the estimated value of the NFTs. They were seized along with other assets as part of a fraud investigation. There is talk of a 1.4 million pounds loss for the British government.

Leave a Reply

Back to top