Bank of England urged the UK and US to coordinate stablecoin regulations

Bank of England (BoE) Deputy Governor Sarah Breeden urges the US and Britain on Wednesday, November 5, to work together to achieve regulatory alignment regarding stablecoins ￰0￱ statement comes just a few days before the Bank of England plans to begin discussions on improving the regulation of stablecoins. Notably, stablecoins are cryptocurrencies that are linked to a fiat currency or another reserve ￰1￱ seeks to match US stablecoin rules as industry pushback The US has already enacted major laws enabling stablecoin issuers to be regulated under the GENIUS Act , leading to concerns that the UK risks being left behind unless regulators in both countries implement synchronized ￰2￱ with the US could minimize regulatory arbitrage, industry observers say.

However, this means that in the future, the UK will have a less flexible ability to adjust its regulations for stablecoins denominated in ￰3￱ highlighted ongoing work with US authorities, including the Federal Reserve and finance departments, to ensure that regulations were ￰4￱ confirmed that the Bank of England plans to initiate a discussion concerning its proposed rules for stablecoins on November 10, ￰5￱ mentioned during the London SALT conferenc e, “I’ve been in talks with the Federal Reserve… The regulators there and our finance ministries are collaborating.” Meanwhile, the Bank of England’s proposals are expected to focus on “systemic” ￰6￱ pointed out that these stablecoins are widely used as a payment ￰7￱ stablecoins will be categorized under the regulation of the Financial Conduct Authority with relaxed rules.

However, reliable sources reported that the crypto community has severely condemned the central bank for its plan to set restrictions on the holdings of crypto individuals and ￰8￱ on the community, this proposal does not apply to other significant financial ￰9￱ urges transatlantic rules for stablecoins Notably, this is not the first time officials have called for the US and the UK to collaborate on the digital asset ￰10￱ September, the governments of both nations announced the establishment of a joint task force to enhance cooperation in capital markets and digital assets. A report highlighted that the new group will be referred to as the Transatlantic Task Force for Markets of the ￰11￱ task force is under the leadership of the US Treasury Department and His Majesty’s Treasury.

Moreover, it comprises prominent financial agencies in both nations that manage digital asset ￰12￱ on their role, the joint task force will determine how both countries can collaborate on regulating digital assets now and in the ￰13￱ group is also encouraged to strengthen the connection between American and British capital markets while reducing obstacles for cross-border investments in the crypto ￰14￱ task force said an initial report with policy suggestions will be made public by March ￰15￱ announcement ignited mixed reactions from ￰16￱ experts who reacted positively to this plan acknowledged that this strategy could greatly improve various sectors in the crypto industry if implemented.

Meanwhile, James Butterfill, the head of research at CoinShares, weighed in on the topic of ￰17￱ noted that the UK lags behind the US in terms of cryptocurrency adoption. Therefore, he argued that this collaboration could play a significant role in “kick-starting” Britain’s digital asset ￰18￱ up to Bybit and start trading with $30,050 in welcome gifts