Forsters is a signatory to joint response to Law Commission’s digital assets consultation
Forsters has joined forces with other leading law firms, accountancy firms and professional bodies to issue a joint response to the Law Commission’s consultation on digital assets and (electronic) trade documents in private international law.
The consultation paper focused on how private international law operates in the context of digital assets, following the publication of the Law Commission’s proposals for legislative reform in June 2025. This marks a pivotal moment in shaping the legal framework for this new and fast-growing asset class, and will have implications across tax, succession law, estate administration, and other areas.
Co-signatories to the response include STEP, Crypto UK and a variety of law firms. Our response highlights a primary concern around the law of situs – i.e. the location of an asset for legal purposes – and argues that this is central to the treatment of crypto-assets and intrinsically tied to private international law. Our response stresses that clarity on situs is essential for certainty in areas such as tax, succession and cross-border disputes.
Drawing on extensive practical experience and careful legal analysis, our joint response focused on the most important issues for professional and industry organisations, particularly those surrounding crypto-assets. It signals strong, united support for using a fixed rule for determining situs based on the private key controller.
Speaking to STEP, Partner James Brockhurst TEP, a member of the STEP Digital Assets SIG Steering Committee and an expert in crypto-assets, commented: “The broad coalition of parties that have signed this response shows there is an emerging consensus on the situs question and the courts are increasingly in alignment with our view. We believe our position is backed by the principles of private international law and we eagerly await the Law Commission’s final recommendations.”
