Bank of England Sets $50 Billion Stablecoin Issuance Cap, Drops Retail Limits
What happened: The Bank of England has abandoned previously proposed strict retail holding limits for stablecoins, opting instead for a 40-billion-pound (approximately $50 billion) aggregate issuance
What happened: The Bank of England has abandoned previously proposed strict retail holding limits for stablecoins, opting instead for a 40-billion-pound (approximately $50 billion) aggregate issuance cap. The central bank also improved yield terms for token issuers in preparation for a 2027 market launch.
Why it matters: This policy shift signals a more accommodative stance toward stablecoin adoption in the U.K., potentially positioning London as a competitive hub for regulated digital assets. The $50 billion cap is significant, but the removal of retail limits could spur broader usage and innovation among both issuers and consumers.
Source: CoinDesk