48 jurisdictions will officially implement the CARF crypto asset reporting framework starting January 1.

Odaily Planet Daily reports that according to the OECD’s Crypto-Asset Reporting Framework (CARF), 48 jurisdictions including the UK and the EU will officially begin collecting standardized data starting January 1, 2026. The framework requires relevant service providers to collect more detailed customer information, verify tax residency, and report users’ balances and transactions to local tax authorities annually. This data will then be shared cross-border based on existing information exchange agreements. International law firm Walkers partner Lucy Frew stated on the X platform that CARF will fundamentally change the compliance model for digital asset businesses and clients. For exchanges, this will involve redesigning Know Your Customer and anti-money laundering processes, as well as upgrading reporting systems. UK-licensed exchange CoinJar CEO Asher Tan said that users will be required to provide additional tax residency information. Meanwhile, tax professionals pointed out that although CARF does not create new taxes, it makes existing rules easier to enforce. Tax authorities will be able to more efficiently identify tax discrepancies through standardized machine-readable data, and users are advised to resolve historical tax issues during the voluntary disclosure period.