Stablecoin Regulation: England Vows to Fix US Legislative Delay
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The United Kingdom announces that it wants align its regulation of stablecoins with that of the United States. British authorities stress the importance of not being left too far behind in this booming industry. This desire is part of the global context of the competition to attract tomorrow’s digital finance players.
The British strategy is clear: catch up with the United States
On November 5, 2025, the Bank of England (BoE) stated that the regulatory regime for stablecoins will aim to be rolled out as quickly as in the United States. PUSH the central bank plans to launch a public consultation on November 10 for its regulatory framework for stablecoins.
The goal is to have the rules in place by the end of 2026 to keep the UK competitive. British regulators are insisting on bringing Britain in line with US standards, particularly when it comes to the asset reserves that support stablecoins.
🚨 JUST IN: 🇬🇧 Bank of England drops consultation on stablecoin regulation on 10th November!
Clear Rules for USDT, USDC and More – UK Aims to Become a Cryptohub! 🏦💷 pic.twitter.com/DrmIwpabS1— CryptoPulseIn (@CryptoPulseIn) November 6, 2025
At the same time, the Financial Conduct Authority (FCA) launched a consultation on stablecoins and asset custody in May 2025. set clear requirements for stablecoin issuers and crypto ecosystem players.
In particular, the regime allows for different treatment stablecoins considered “systemic”compared to smaller emitters. A priori this applies to USDT (Tether) and USDC (Circle).
British trade association CryptoUK welcomed the approach emphasizing that ” Finally, it is important that the UK keeps pace with the US and other jurisdictions “.
The main problem for the UK is twofold. On the one hand, to protect consumers and the financial system. On the other hand, we must not limit or discourage cryptocurrency innovation. The parliamentary report on the regulation of cryptocurrencies reminds that regulatory lag puts talent and investment flight at risk.
Problems, differences and challenges of such an approach
On the other hand, the user freedom aspect raises questions… The UK plans to introduce temporary limits on the maximum allowed holdings of stablecoins. For example, within system stablecoins the limit could be £20,000 for individuals and £10 million for businesses.
This cautious approach differs from America’s ambitions under the GENIUS Act. In the United States, stablecoins must be backed by high-quality assets by law. So, although Great Britain wishes to “ keep up with the pace “, takes a more measured stanceespecially with its ceilings and extended consultations.
The crypto industry criticizes this caution, fearing that the UK will lose its competitiveness. Especially since the race is already on and the tokenized dollar has taken a good lead. It already serves as a standard for Economy 3.0.
Another problem lies in transatlantic coordination. Enhanced cooperation with the United States is also underway. PUSH The BoE declares a dialogue with the Federal Reserve System and the US Treasury to these questions.
Structural differences between the American and British financial markets introduce some form of harmonization. For example, Britain’s reliance on commercial banks for mortgage lending requires greater caution.
Finally, it is not enough to align the texts. Ecosystem players (including traditional ones) they must be technically and operationally ready for operation according to these new rules.
Competition in this sector requires legislative clarity and speed of implementation to prevent an exodus to other crypto hubs such as Hong Kong or Dubai.
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The information provided in this article does not constitute investment advice. They are provided for informational purposes only. The crypto asset market remains highly volatile and carries significant risk of loss. Readers are advised to only invest amounts they can afford to lose and to do their own research before taking any position in the markets.
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