Bank of England drops stablecoin holding caps in final UK rules
Bank of England drops stablecoin holding caps in final UK rules
The Bank of England has dropped proposed individual stablecoin holding caps and set an initial £40 billion issuance limit per token.Stablecoin issuers can now hold up to 70% of reserves in short term government debt, up from the 60% level proposed in earlier consultations.Regulators revised the framework after industry concerns that ownership caps and reserve requirements could make sterling stablecoins difficult to scale.