HM Revenue and Customs plans to expand access to encrypted asset information, raising privacy concerns

HM Revenue and Customs plans to expand its authority to investigate encrypted asset information, allowing tax authorities to directly access customer information from encrypted asset service providers and update inspection rules. Recap warns that the proposed regulations have a broad definition of service providers, covering non custodial wallet software, blockchain browsers, hardware wallet manufacturers, and tax software providers. The association between investors' names, addresses, and tax identities and on chain wallet addresses increases the risk of data leakage, extortion, and personal attacks. (Source: Forbes)