Crypto
Home›Crypto›Regulation›Bank of England to get a secondary stablecoin innovati…
Bank of England to get a secondary stablecoin innovation objective
Britain plans to amend its financial services bill to require annual Bank of England reporting to Parliament on advances in payment systems and digital money innovation.
The Bank of England is set to receive a new secondary statutory objective tied to stablecoins and other forms of digital money, while financial stability remains its primary duty, according to CoinDesk. CoinDesk reports the change is expected to be added through an amendment to the Financial Services and Markets Bill, with the central bank required to provide annual updates to Parliament on its progress toward innovation in payment systems and digital finance. The policy shift formalizes the government’s push to modernize payments into an additional responsibility for the Bank of England, as Britain develops a single regulatory framework intended to cover both traditional and tokenized payments, including stablecoins and tokenized deposits, and to consider how rules may need to adapt for AI agent payments. The plan comes as the UK prepares stablecoin rules that include a temporary £40 billion cap for each systemic stablecoin. CoinDesk also notes that the Bank dropped earlier proposed temporary limits on how many stablecoins individuals and businesses could hold, replacing them with a £40 billion issuance cap per systemic stablecoin, while the UK’s Financial Conduct Authority has finalized crypto and stablecoin issuer rules, including simplified capital requirements. The authorization application window begins Sept. 30 and the regime is scheduled to take effect on Oct. 25, 2027.