> For the complete documentation index, see [llms.txt](https://docs.recap.io/uk-tax-guide-for-individuals/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.recap.io/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider.md).
# Staker/Lender/Collateral Provider
The tax position of the person locking away their tokens in a yield generating activity depends on [whether the reward/return is income or capital](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-the-reward-income-or-capital.md) and it also depends on [whether or not beneficial ownership of the tokens is transferred to another party](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/is-beneficial-ownership-bo-transferred.md).
Our analysis of the tax position for the staker/lender is split into the following scenarios:
Where Income Rewards are received for locking tokens up
* [Beneficial ownership transferred](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider/income-rewards/bo-transferred.md)
* [No beneficial ownership transferred](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider/income-rewards/bo-not-transferred.md)
Where Capital Rewards are received for locking tokens up
* [Beneficial ownership transferred](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider/capital-rewards/bo-transferred.md)
* [No beneficial ownership transferred](/uk-tax-guide-for-individuals/cryptocurrency-tax/new-hmrc-defi-guidance/consider-the-tax-treatment/staker-lender-collateral-provider/capital-rewards/bo-not-transferred.md)