Key Highlights
- Aave’s founder, Stani Kulechov, has praised the UK’s new tax policy for crypto lending and liquidity pools.
- On July 13, HMRC introduced a “No Gain, No Loss” (NGNL) rule for crypto lending and liquidity pools, which means that deposits into protocols like Aave will no longer trigger immediate capital gains tax.
- The new tax policy is a major breakthrough for the UK’s crypto users as it makes lending and liquidity pools more tax-friendly for everyday users.
On July 13, the biggest lending protocol, Aave’s founder, Stani Kulechov, publicly shared his excitement over the United Kingdom’s new tax legislation for cryptocurrency lending and liquidity pools (LPs).
“HMRC in the UK is adopting new tax legislation related to crypto lending and liquidity pools,” Kulechov stated.
Aave Founder Says UK’s Tax Policy for Crypto is In the Right Direction
The main change here is that the depositing funds into lending protocols will now be treated as ‘no gain, no loss’ for tax purposes. This means that users won’t owe capital gains t...
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