Section 131ZB: Cryptoassets, Proceeds of Crime Act 2002

This section applies to cryptoassets which—

are held by a person, and

are held in a crypto wallet administered by a UK-connected cryptoasset service provider,

but only so far as the cryptoassets are free property.

Subsection (3) applies if—

a confiscation order is made against a person holding cryptoassets to which this section applies, and

an administrator has not been appointed under section 128 in relation to the cryptoassets.

The sheriff may order the UK-connected cryptoasset service provider which administers the crypto wallet in which the cryptoassets are held—

to realise the cryptoassets, or a portion of the cryptoassets having a specified value,

to pay the proceeds of that realisation to the appropriate clerk of court on account of, and up to a maximum of, the amount payable under the confiscation order, and

to the extent that the proceeds of the realisation exceed the amount payable under the confiscation order, to pay the excess to an appropriate officer identified in the order.

In subsection (3)—

"appropriate clerk of court" means the sheriff clerk of the sheriff court responsible for enforcing the confiscation order under section 211 of the Procedure Act as applied by section 118(1);
"appropriate officer" has the same meaning as in section 120A.

An order under subsection (3) may be made—

on the application of the prosecutor, or

by the sheriff of the sheriff's own accord.

Where a UK-connected cryptoasset service provider—

is required by an order under subsection (3) to realise a portion of cryptoassets having a specified value, but

on realising cryptoassets under the order, obtains proceeds of an amount which differs from that value,

it does not fail to comply with the order solely because of that difference in value, provided that it took reasonable steps to obtain proceeds equal to the value specified.

Section 131ZB: Cryptoassets

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