Briefs · Emerging Technologies
Britain has scrapped the stablecoin speed limit
Britain has torn up its plan to cap how much stablecoin any one person could hold. In its place: a single, very large guardrail.
The Bank of England and the Financial Conduct Authority published their final crypto rules on 22 June, dropping the proposed per-coin holding caps of £20,000 for individuals and £10 million for businesses. Instead, systemic stablecoins face an initial temporary issuance guardrail of £40 billion each.
The backing rules are strict, and deliberately boring: 70% in short-term UK government debt, 30% in unremunerated deposits at the Bank of England, plus a 5% excess backing buffer under the FCA. Coinholders get no interest. The coin is meant to be a payment instrument, not a savings account with delusions of grandeur.
Britain is not deregulating crypto, but rather regulating it like plumbing: unglamorous, well-built, and expected not to leak.
Conclusion: the cap is gone, the guardrail is in, and the stablecoin has been told to behave like money, not like a casino chip.
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