Cryptouk supports rules aligned with StableCoin to restore confidence in the market
United Kingdom-based Crypto Trade Association Cryptouk has welcomed reports that the Bank of England (BOE) plans to launch a consultation on StableCoin regulation in November, saying that alignment with United States policy will boost confidence in the country’s digital asset industry.
In comments sent to Cointelegraph, a Cryptouk spokesperson said that matching the US approach to StableCoin administration will “give more confidence to the industry” and ensure that the UK “keeps pace” with its global peers.
“Ultimately, it is important that the UK continues to keep pace with the US and other jurisdictions – the crypto industry is truly global and this means that competition for our members is rapidly changing,” the spokesperson said.
The group added that the crypto sector has already benefited from “regulatory tailwinds emanating from the US,” a nod to the US’s tighter push Under the Genius Act To integrate StableCoins into mainstream finance.
The UK Central Bank is targeting the end of 2026 for the StableCoin regime
On Friday, Bloomberg reported That the Bank of England (BOE) aims to have new StableCoin regulations in place by the end of 2026.
According to the report, the Central Bank plans to open a consultation on November 10 to propose a framework that will be closely modeled on US policies.
Citing anonymous sources, Bloomberg said the BOE wants to ensure that the UK’s regulatory framework continues to be in line with the US, where policymakers are pushing for StableCoin legislation.
This means that upcoming rules may require issuers to hold government bonds or bills with maturities, which mirror US standards.
The move follows pressure from the UK Treasury, which has reportedly urged the Central Bank to act quickly amid fears the country risks losing out to other jurisdictions.
Boe governor Andrew Bailey recently recognized the potential role of StableCoins in modern payments.
On October 1, Bailey wrote in a Financial Times op-ed that StableCoins could reduce the UK’s reliance on commercial banks, signaling a shift in the bank’s stance towards digital assets.
Related: Boe Signals Flexibility in StableCoin Caps Amid Industry Pushback: Report
A friendlier turn for crypto finance
The push for a StableCoin framework follows a wider shift to a more crypto-friendly environment in the UK financial sector.
On October 9, the Financial Conduct Authority (FCA) Its four-year ban was lifted In crypto exchange-traded notes (ETN), which allow investors to gain exposure to digital assets through regulated venues such as the London Stock Exchange.
The move was followed by asset manager BlackRock Bitcoin exchange traded product launch (ETP) in the UK.
In addition, the FCA also authorized asset managers to use blockchain For tokenization of funds. This is aligned with the government’s vision to make the UK a hub for tokenized finance.
These developments suggest that the UK is moving closer to an innovative and regulated model, aiming to compete with other jurisdictions in attracting crypto capital.
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