Speaking Note for the Property (Digital Assets Etc) Bill 2026 - 187/2026

The Minister for Justice, Trade and Industry, The Hon Nigel Feetham KC MP

18 March 2026

Madam Speaker, I have the honour to move that the Bill for an Act to make provision about the types of things that are not prevented from being objects of personal property rights be read a second time.

The Bill is based on the United Kingdom's bill of the same name and its purpose is to clarify that certain digital assets, such as crypto-tokens, can be recognised as property even though they do not fit into the two traditional categories of personal property recognised by the law: things in possession and things in action.

Digital assets are increasingly important to society and the economy and are used in growing volumes and for an expanding variety of purposes including as valuable things in themselves, as a means of payment, or to represent or be linked to other things or rights.

The term digital assets is very broad and captures a wide range of things including digital files, digital records, domain names, cryptocurrency and non-fungible tokens. The technology used to create or manifest those digital assets is not the same nor are the characteristics or features of those digital assets.

In response to the uncertainty caused by the difficulty of fitting in digital assets into either category of personal property and indeed whether or not it could be classified as personal property, the UK Ministry of Justice asked the Law Commission in 2020 to consider this issue.

The Law Commission reviewed the current law and concluded that certain types of digital assets are things to which property rights relate. The Law Commission undertook extensive consultation and determined that crypto-tokens and potentially other types of digital assets had the characteristics of property and recommended legislation to confirm that such assets could attract property rights despite not falling within the traditionally recognised categories of personal property. Following the consultation, the Law Commission published a draft Bill which later became an Act in the UK on the 2nd December 2025.

The Bill deliberately does not state what digital assets fall within any further category of personal property or how the law will treat them. Instead, the intention is for these details to be developed by the courts which in this case is preferable to having firm rules in place which would be less able to respond flexibly to new circumstances and technological developments. Personal property law has always been developed by the courts through our common law rather than by legislation.

Some of the advantages of the Bill include ensuring that certain digital assets can be properly recognised by the law as personal property. This helps with certainty and protection for people and businesses who own and transact with such assets. It removes the need to decide whether something can be property even if it does not fall into the traditional categories of personal property. It also ensures that Gibraltar continues to be an attractive place to deal with digital assets.

I have consulted with judiciary as well as the FSC and industry on the Bill.

Madam Speaker, this will not be the last Bill we hope to bring to this House in support of the digital asset sector. I would like to acknowledge the Leader of the Opposition, who last year raised a question in this House about legislation of this nature. At the time, I assured Members that we were considering this.

In tandem with this Bill, we have been progressing other legislation to ensure Gibraltar remains at the forefront of innovation in this sector. Recently, I attended the Consensus conference in Hong Kong, the leading global gathering for the digital asset industry, where it was clear that jurisdictions that succeed are those with forward-looking legislation combined with a regulatory approach that actively supervises and supports market participants.

By staying at the cutting edge of legal frameworks and a responsive regulatory approach, Gibraltar can continue to meet the evolving needs of this fast-moving sector. If we fail to do so, we risk falling behind and missing the opportunity to secure our position as a market leader in digital assets.

Madam Speaker, we have been clear about the need to broaden our economic base and reducing our dependancy on the UK market. Over 18 months we have engaged with industry stakeholders and regulators, underpinning the Government's policy that we should pursue opportunities with renewed pace and clarity of purpose, a strategy we set from the start, one that positions Gibraltar to demonstrate agility, competitiveness, and confidence in our future.

Madam Speaker, I commend this Bill to the House.