‘Keep Pace’ or Fall Behind: CryptoUK Says US-Aligned Rules Key to UK Crypto Revival

Why It Matters

Industry groups say US-aligned regulation could revive the UK crypto market by attracting firms and investment, while divergence risks firms relocating and the UK losing competitiveness in fintech and payments innovation.

Summary

CryptoUK urged UK regulators to align new stablecoin rules with the US as the Bank of England launches a consultation mirroring Washington’s framework for fiat‑pegged crypto assets. The proposed rules target stablecoins used in payments and aim to provide clearer custody, prudential and operational requirements to bring legal certainty to issuers and service providers. Industry groups say US-aligned regulation could revive the UK crypto market by attracting firms and investment, while divergence risks firms relocating and the UK losing competitiveness in fintech and payments innovation.