BoE and FCA publish joint approach to systemic stablecoin regulation
Bank of England and FCA published joint approach document on regulation of systemic stablecoin issuers in the UK.
The joint approach clarifies how systemic stablecoin issuers will be supervised across prudential and conduct dimensions. Firms with stablecoin exposure, payment integrations or custody arrangements must evaluate operational, liquidity and conduct implications of the framework.
Formalises UK regulatory perimeter for stablecoins with systemic importance, affecting payments, capital markets and crypto-linked activities.
Action Required
Assess exposure to stablecoin issuers and prepare for dual BoE/FCA supervisory expectations on issuance, reserves and operations.
Landmark UK crypto regulatory framework shaping future stablecoin market structure and bank participation.
Map stablecoin-related activities against joint BoE/FCA expectations; update product governance, third-party risk and prudential frameworks to reflect emerging systemic stablecoin regime.
“Approach document from the Bank of England and FCA setting out joint regulation of systemic stablecoin issuers.”