Crypto-Asset Reporting Framework

Crypto-Asset Reporting Framework

What is changing?

From 1st January 2026, we will be requesting additional tax information from all our customers due to changing regulatory obligations.

These obligations will affect all cryptocurrency companies in the Isle of Man, the UK and across all countries which interact with the traditional banking system globally.

Why is this changing?

Bittylicious (Isle of Man) Limited ("Bittylicious") is a company based in the Isle of Man.

As a member of the OECD, the Isle of Man has committed implementing the Crypto-Asset Reporting Framework, known as the CARF.

Countries implement the CARF by legally requiring companies in their jurisdiction to collect and declare customer tax data to the local tax authority. This mandatory data collection enables tax authorities to routinely share the tax information of customers with other international tax authorities. The data collected might then be used by tax authorities in the context of cross-border tax or other investigations, for example.

This data-sharing system is already well-established in the fiat banking system, where it is referred to as the Common Reporting Standard ("CRS"). The purpose of the CARF is to replicate (and arguably exceed) the transparency requirements of the CRS by applying similar rules to cryptocurrency transactions.

How does this affect me?

CARF reporting requires cryptocurrency exchanges like Bittylicious to collect a wider range of personal financial information from its customers than previously. Bittylicious is legally obliged to comply with these data collection obligations from 1st January 2026.

Examples of the type of information that Bittylicious requires from 1st January includes the following:

• your Tax Identification Number (e.g. a UK National Insurance number for a UK individual, or a company registration number for a UK company);
• what country/countries you are tax resident in; and
• additional residence address information for some individuals (e.g. company directors).

This list is non-exhaustive, and subject to change in line with OECD and Isle of Man legal updates to the CARF.

From 1st January 2026, you will notice a prompt to submit this information when you access the Bittylicious service. Failure to submit such information in a timely way will result in your being unable to trade on the Bittylicious platform.

We appreciate your cooperation as we comply with our legal obligations, and thank you for your patience as we implement new regulations.

Please contact support@bittylicious.com should you have any questions about the above.