Bank of England Says UK Will Match US Pace in Stablecoin Regulation

Highlights:

• BoE plans to implement stablecoin rules quickly to keep up with U.S. standards.
• Big stablecoins will face new limits, and smaller ones will get lighter supervision.
• The UK and the U.S. are working together to make crypto rules stronger.

Bank of England (BoE) Deputy Governor Sarah Breeden urged the UK to match the United States in stablecoin regulation. Speaking at London’s SALT conference on Wednesday, she dismissed concerns that Britain is lagging. Breeden assured that the UK will introduce a stablecoin regulatory framework “just as quickly as the US.”

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Bank of England Plans Consultation Release on November 10

The Bank of England will unveil its awaited stablecoin consultation on November 10, the Deputy Governor confirmed. The initial rules will focus on “systemic” stablecoins, meaning those likely to be widely used for payments. Other stablecoins will remain under the Financial Conduct Authority’s supervision with a lighter regulatory approach.

Bloomberg reported that the upcoming proposals will introduce temporary limits: £20,000 ($26,000) for individuals and £10 million for businesses. Breeden explained that the UK’s stricter approach reflects its mostly bank-based mortgage market, which is more exposed to sudden deposit flows into stablecoins. “Our aim is to make sure that our regime is up and running, just as quickly as the U.S.,” Breeden said.

Bank of England Deputy Governor Sarah Breeden said new stablecoin rules will be up and running “just as quickly as the US,” rebuffing industry concerns that Britain is falling behind on setting up a regime https://t.co/rCO8nJmdLF

— Bloomberg (@business) November 5, 2025

The US has already passed major laws under the GENIUS Act to regulate stablecoin issuers. This has raised concerns that the UK could fall behind unless regulators in both countries coordinate their rules. Experts say aligning with the US could reduce regulatory loopholes and prevent arbitrage. 

UK and US Join Forces on Crypto and Stablecoin Regulations

Breeden’s latest statements come after a September meeting between UK Chancellor Rachel Reeves and US Treasury Secretary Scott Bessent, where both countries committed to closer cooperation on crypto and stablecoin regulation. The talks followed calls from UK crypto groups urging the government to take a more open approach, saying the current policies have hindered innovation and progress.

After the meeting, the HM Treasury (UK) and the United States Department of the Treasury announced the formation of the Transatlantic Taskforce for Markets of the Future to improve collaboration in capital markets and digital assets. The group’s role is to find ways for the US and UK to work together on regulating digital assets now and in the future. It is also tasked with strengthening connections between American and British capital markets while reducing barriers for cross-border crypto investments. The task force plans to release an initial report with policy recommendations by March 2026. 

🇺🇸🤝🇬🇧 Big move in global crypto regulation!

The US and UK just launched the Transatlantic Taskforce for Markets of the Future – aiming to reduce barriers, align rules, and coordinate oversight for digital assets.

A joint report is expected within 180 days. Could this mark the… pic.twitter.com/g8U3u8TZYs

— Lynneri (@lynneri_) September 23, 2025

Canada’s government also unveiled a plan on Tuesday to regulate stablecoins. The rules would require fiat-backed issuers to hold enough reserves and follow strong risk management practices to protect users and the financial system. The document did not specify when lawmakers will introduce the legislation. However, it is part of a wider plan to modernize the payments system and make digital transactions faster, cheaper, and more secure for the country’s 41.7 million people.

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