Bank of England set to ease sterling stablecoin rules amid industry concerns: FT

The Bank of England is reportedly softening its stance on proposed regulations for systemic sterling stablecoins following significant criticism from the industry. Deputy Governor Sarah Breeden indicated that the central bank is reviewing its current framework, which includes stringent holding caps and a requirement to hold 40% of reserves in non-interest-bearing accounts. Industry participants argue that these measures are operationally cumbersome and hinder scalability. This shift comes as the UK faces pressure to remain competitive against the United States, where stablecoin regulation is evolving. Bank of England Governor Andrew Bailey has also emphasized the necessity of international regulatory alignment to ensure stablecoins function effectively within the global payment architecture.

(Source：The Block)