UK Targets End-2026 for Stablecoin Rules to Keep Pace With US

The Bank of England is aiming to have new stablecoin regulations in place by the end of next year, as policymakers around the world battle to contain risks to financial stability from the spread of the digital money.

The UK central bank plans to launch a consultation on regulating stablecoins on Nov. 10 and will favor a regime that aligns closely with US rules on bonds backing the digital assets, according to people familiar with the matter. The BOE believes its framework will keep pace with the implementation of the US rules amid tensions over the issue between the bank and government, the people said, asking not to be identified discussing internal deliberations.