The use of cryptocurrencies in the UK real estate market: an assessment of money laundering risks

In recent years, cryptocurrencies have gained growing importance in various sectors, including the real estate market. This fact has spawned a debate about the money laundering risks of the use of cryptocurrencies for property transactions in the United Kingdom. Some think that cryptocurrencies have revolutionary effects on national economies and that they might bring benefits to the real estate market. However, the use of cryptocurrencies raises concerns for their compatibility with the existing UK anti-money laundering legislation. In particular, cryptocurrency transactions can create issues for the customer due diligence checks that the 2017 Money Laundering Regulations impose on real estate agents. This chapter addresses the topic, examining critically the money laundering risks of the use of cryptocurrencies in the UK real estate market. Through an analysis of the literature and with reference to the author’s empirical research findings, this study sheds light on the subject, providing some innovative perspectives for future legislative and policy action.