The Law Commission of England and Wales has announced that the UK's current legal and judicial system requires reform because it does not have a sufficient framework to regulate both existing and new types of digital assets.

To fill the gaps, the Legislative Commission recommends recognizing virtual assets as a separate category of personal property and creating a group of industry experts to advise courts on issues related to the circulation of cryptocurrencies.

The implementation of the recommendations will allow the UK authorities to improve the legal framework for regulating ownership rights to digital assets, ensure the safety of users and participants in the crypto market, strengthening the UK’s position as a global cryptocurrency center.

Earlier, UK Treasury Secretary Bim Afolami said that the government hopes to approve new rules for regulating stablecoins and staking services within the next six months.