Some genuinely positive news for UK crypto holders in today's Budget. The Government has formally confirmed plans to reform the taxation of DeFi lending, liquidity pools and stablecoins from April 2027. This could remove significant tax complications for millions of transactions. Where has this been confirmed? HMRC published its Budget 2026 Overview of Tax Legislation and Rates (OOTLAR) today, 28 October. Sections 1.35 and 1.48 confirm the Government intends to introduce these reforms through Finance Bill 2026–27. These are official policy commitments, not speculation. Does this mean the changes are approved? Not quite. The Government consulted on the proposals and published draft legislation in July 2026. Today's Budget confirms its intention to proceed. The Finance Bill must still pass through Parliament and receive Royal Assent before becoming law. The planned implementation is April 2027. DeFi lending and liquidity pools Currently, depositing crypto into certain DeFi arrangements can trigger CGT, despite no actual profit being realised. Under the proposed rules, qualifying transfers will receive no gain, no loss treatment. Tax would instead arise when a relevant economic disposal occurs. A major improvement. Stablecoins Eligible stablecoins will be treated more like money. For individuals, qualifying disposals will become exempt from CGT. Interest-like returns will generally be taxed as savings income. Companies will have different rules, broadly based on loan relationship taxation. HMRC estimates around 1.2 million individuals could be affected. My thoughts Credit where it's due. While much of today's Budget increases taxation and compliance obligations, these reforms are sensible. Bitcoin & Crypto taxation should reflect economic reality rather than create artificial taxable events. The final legislation and eligibility criteria still matter, but this is a significant step in the right direction. Official source: gov.uk/government/publicatio… #CryptoTax #DeFi #UKBudget