Political Shift Toward Digital Assets in the UK

British politician Nigel Farage has announced his full support for the UK’s crypto industry, calling for the government to establish a 5 billion pound national Bitcoin reserve to strengthen the country’s financial independence.

The statement was made during a recent fintech and blockchain conference in London, where Farage positioned himself as a vocal supporter of digital innovation and financial sovereignty.

He argued that the United Kingdom should adopt a “pro-Bitcoin stance” similar to that of countries like Switzerland and Singapore, encouraging private sector growth and government-level participation in the digital economy.

A Push for Sovereign Bitcoin Holdings

Farage proposed that the UK Treasury allocate part of its foreign currency reserves into Bitcoin and other major digital assets.

He suggested that such a reserve could act as a hedge against inflation and geopolitical risks, while simultaneously positioning Britain as a forward-thinking financial hub.

“The world is moving toward digital value. Britain should not be left behind,” Farage said.

He emphasized that the UK has historically thrived by embracing financial innovation, from the rise of global banking to fintech, and that crypto represents the next logical step.

Industry Reaction

The proposal sparked immediate discussion among crypto executives and policymakers.

Industry leaders praised the idea as a bold step toward legitimizing digital assets, while economists warned that government exposure to volatile markets could introduce new fiscal risks.

Despite mixed reactions, the broader sentiment within the UK’s fintech community was positive, with many seeing Farage’s remarks as a sign that mainstream political support for crypto is finally emerging.

Regulatory Context

The UK government has recently taken steps toward integrating crypto into its financial framework, including the reversal of the retail crypto ETN ban and ongoing consultations on digital asset taxation.

Farage’s endorsement adds political pressure on lawmakers to accelerate the creation of a comprehensive regulatory framework that supports innovation while ensuring market stability.

Outlook

While the proposal for a state Bitcoin reserve remains theoretical, it reflects a growing trend among global politicians advocating for crypto adoption at the national level.

If the UK were to move forward, it would become the first major Western economy to hold Bitcoin as part of its sovereign assets.