The Bank of England Proposes New Regulation for Stablecoins

BlockBeats News, November 10th, the Bank of England unveiled long-awaited stablecoin regulatory proposals on Monday. The Bank of England suggested that systemic stablecoin issuers would be able to invest up to 60% of their reserves in short-term government debt backed by digital assets; individual stablecoin holdings would be capped at £20,000, with a £10 million cap for businesses.

Previously, the Bank of England has been a major obstacle to implementing U.S.-style free-market stablecoin rules, and Governor Bailey has always been skeptical of stablecoins and central bank digital currencies.

However, in recent weeks, Bailey and his colleagues have softened their language, indicating that they will introduce a more lenient regulatory approach and will not impose stricter rules on reserve assets used to support stablecoin value. (Jinse Finance)