Trusted

UK Wants to Sell Its Bitcoin as Critics Warn of Gordon Brown-Style Mistake

1 min
Updated by Mohammad Shahid
Join our Trading Community on Telegram

In Brief

  • The UK government is reportedly considering selling around $6.7 billion worth of seized Bitcoin to help address budget deficit.
  • The proposed move has sparked backlash from critics, who warn it could repeat the mistake of the UK’s early-2000s gold sell-off
  • Critics argue the planned decision contradicts the global trend of governments accumulating Bitcoin as a strategic asset.
  • promo

The United Kingdom is reportedly considering selling some of its seized Bitcoin holdings to help cover its mounting budget deficit.

This move comes amid growing pressure on the UK government to address fiscal shortfalls. If approved, the sale would mark a departure from the emerging global trend of governments building strategic Bitcoin reserves.

UK Faces Backlash Over Potential Bitcoin Sale

According to the report, the UK Treasury and Home Office are working closely with law enforcement agencies. They aim to explore the sale of nearly £5 billion ($6.7 billion) worth of confiscated digital assets.

The authorities are also considering the development of a secure infrastructure for crypto asset management to facilitate such sales.

This proposal is part of a broader fiscal strategy aimed at easing the burden on Chancellor Rachel Reeves. Experts estimate the UK faces a budget gap of approximately £20 billion, which the government may attempt to bridge through asset sales and tax increases.

Meanwhile, the idea of liquidating Bitcoin reserves has drawn sharp criticism from crypto advocates and political figures.

Zia Yusuf, who leads the DOGE unit of the Reform Party, issued a warning about the proposed Bitcoin sale. He said it would echo former Prime Minister Gordon Brown’s controversial decision to sell gold at market lows in the early 2000s.

“The UK should be implementing Reform’s Crypto Bill and increasing its Bitcoin reserves. Selling now will go down as a far worse decision that Brown’s fire sale of our gold. The Westminster class are dinosaurs who don’t get the future,” he stated.

Decentra Suze, co-founder of Bitcoin Policy UK, also criticized the report, calling it “lazy and sensational.” She emphasized that the status of the held Bitcoin is still under legal dispute, particularly with claims from Chinese authorities and victims seeking restitution.

“Plenty of time before we repeat Gordon Brown’s devastating decision to sell off the UK’s gold at the bottom. Let’s just hope this doesn’t all conclude in a bear market. When they do sell, it’ll be typical if it ends up happening at the bottom again,” Suze added.

According to Bitcoin Treasuries data, the UK currently holds 61,245 BTC, valued at around $7.2 billion. Most of this BTC was confiscated in 2024, when its estimated worth was around £1.4 billion.

UK Bitcoin's Bitcoin Holding.
UK Bitcoin’s Bitcoin Holding. Source: Bitcoin Treasuries

Should the UK proceed with its proposed sales, it would follow Germany’s recent example of liquidating large Bitcoin reserves.

Moreover, this approach would also contrast with the growing number of countries actively accumulating digital assets for strategic purposes.

Top crypto platforms
Top crypto platforms

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Oluwapelumi-Adejumo.png
Oluwapelumi Adejumo
Oluwapelumi Adejumo is a journalist at BeInCrypto, where he reports on a broad range of topics including Bitcoin, crypto exchange-traded funds (ETFs), market trends, regulatory shifts, technological advancements in digital assets, decentralized finance (DeFi), blockchain scalability, and the tokenomics of emerging altcoins. With over three years of experience in the industry, his works have been featured in major crypto media outlets such as CryptoSlate, Coinspeaker, FXEmpire, and Bitcoin...
READ FULL BIO
Sponsored
Sponsored