Overview
- The Bank of England will publish draft rules for systemic stablecoins next month and aims to finalise the framework by the end of the year.
- The central bank said it may impose temporary caps on total stablecoin issuance during early adoption to reduce the risk that deposits shift quickly out of banks.
- Regulators outlined a multi‑money retail payments vision that would let people pay with tokenized bank deposits, regulated stablecoins, and a potential retail central bank digital currency.
- The Bank and the Financial Conduct Authority opened a joint consultation on tokenized wholesale markets and the Bank‑FCA Digital Securities Sandbox has 16 firms preparing launches from late 2026, including Euroclear, HSBC, and London Stock Exchange Group.
- Officials are tying the rules to technical upgrades and prudential tests by extending RTGS/CHAPS hours, running sandbox experiments through 2029, and treating tokenized assets the same as equivalent non‑tokenized assets when legal rights and risks match.