๐๏ธ ๐๐๐ ๐ฃ๐๐๐ต๐ฒ๐ ๐ณ๐ผ๐ฟ ๐๐น๐ฒ๐ฎ๐ฟ ๐ฅ๐๐น๐ฒ๐ ๐ผ๐ป ๐ฆ๐๐ฎ๐ฏ๐น๐ฒ๐ฐ๐ผ๐ถ๐ป๐ & ๐๐ฟ๐๐ฝ๐๐ผ ๐๐๐๐๐ผ๐ฑ๐
The UKโs Financial Conduct Authority (FCA) is asking the public for feedback on new rules for stablecoins and crypto custody servicesโpart of a broader push to regulate digital assets.
๐ Whatโs in the Proposal?
โฌ๏ธ Stablecoin Issuance โ must be backed clearly by fiat assets, with full transparency
โฌ๏ธ Crypto Custody โ platforms must ensure user funds are secure and always accessible
โฌ๏ธ Financial Resilience โ rules aim to reduce risk of firm failure in the crypto space
๐ Why It Matters:
โฌ๏ธ Stablecoins could boost payment speed, especially for cross-border transactions
โฌ๏ธ Clear rules will help attract legit firms and institutional players to the UK
โฌ๏ธ A regulated path for innovation = trust + adoption
๐ง FCAโs Message:
"We want a crypto sector that supports innovation with integrity and trust." โ David Geale, FCA
๐งฉ Whatโs Next:
โฌ๏ธ The Bank of England will release its own consultation later in 2025
โฌ๏ธ Feedback on FCA proposals is open until July 31, 2025
โฌ๏ธ Final rules expected in 2026
๐ฌ Should stablecoin firms offer yield on reserves? What do you want to see in these rules?
