The UK government has appointed its first-ever crypto intelligence specialist to track down and recover hidden digital assets in bankruptcy and criminal cases. Andrew Small, a former police officer with expertise in economic crime, will spearhead efforts at the UK Insolvency Service to locate and retrieve lost or concealed crypto assets such as Bitcoin, Ethereum, memecoins, and NFTs.

This move comes in response to a staggering 420% surge in crypto-related insolvency cases over the past five years. In that same period, the value of digital assets identified in these proceedings skyrocketed from just over £1,400 to more than £523,000 ($709,500), underscoring the growing importance of digital currencies in legal recoveries.

Small’s role will involve advising investigators on how different cryptocurrencies are acquired, stored, and transferred—vital skills as crypto becomes an increasingly common asset class in insolvency and fraud investigations. The Insolvency Service emphasized that everything from high-value Bitcoin holdings to obscure memecoins and digital collectibles could be recovered and redistributed to creditors.

Crypto adoption in the UK is rapidly growing. A report from the Financial Conduct Authority found that 12% of UK adults held crypto in 2024, up from 4% in 2021, with average holdings valued at nearly £1,842 ($2,496).

Coinciding with Small’s appointment, the UK is preparing for stricter crypto regulations. Starting January 1, 2026, crypto companies will be required to report every user transaction—including names, addresses, and tax IDs—to comply with international tax transparency standards under the OECD’s Crypto-Asset Reporting Framework.