Radical Stablecoin Move from the UK! Are Exchanges Coming to Exemptions? Here Are the Details

The Bank of England (BoE) is planning to introduce exceptions to institutional stablecoin ownership ￰0￱ Bank of England is planning to introduce an exception to the stablecoin ￰1￱ to Bloomberg, the move is part of the UK's effort to remain competitive with the rapidly evolving US crypto ￰2￱ report noted that the BoE plans to grant exemptions to certain businesses, particularly crypto exchanges that are required to hold large amounts of stablecoins, and allow stablecoins to be used as payment instruments in the digital securities ￰3￱ arrangement will be tested under the BoE's Digital Securities Sandbox ￰4￱ Central Bank's previous draft proposal had set a cap of £20,000 (about $26,800) for individual stablecoin holdings and £10 million (about $13.4 million) for institutional holdings.

However, the crypto industry had expressed concerns that these limits could negatively impact market growth and ￰5￱ US's recent enactment of the GENIUS Act, which has created a clearer legal framework for stablecoins, has increased regulatory pressure on the ￰6￱ an article for the Financial Times, Bank of England Governor Andrew Bailey emphasized that stablecoins can “coexist” with the financial system and support payments innovation. However, Bailey emphasized the importance of maintaining strict regulatory requirements “to ensure public confidence.” *This is not investment ￰7￱ Reading: Radical Stablecoin Move from the UK! Are Exchanges Coming to Exemptions?

Here Are the Details