The UK has identified the development of stablecoins as a key financial priority for 2026.
Date: 2025-12-12 Author: Gabriel Deangelo Categories: IN WORLD
The UK has identified the support and development of stablecoins as one of its strategic areas for 2026. The focus is on creating an infrastructure for settlements in stablecoins pegged to the pound sterling, as well as expanding opportunities for local companies working with digital assets.
FCA Chairman Nikhil Rathi announced this in an official letter to Prime Minister Keir Starmer. He stated that the development of such infrastructure should not only improve the efficiency of domestic payments but also strengthen the country's position in the global financial system. The UK regulator believes that the promotion of stablecoins will be an important factor in the competitiveness of the fintech sector and will enhance the country's attractiveness to innovative companies.
At the same time, the FCA and the Bank of England are putting together a unified set of rules that will cover all key elements of the digital asset market: stablecoin issuers, trading platforms, digital asset custody, lending, and staking. This comprehensive regulation is expected to come into force in 2026, marking a significant milestone in the development of UK digital asset policy.
One of the central tools for market development has become an open regulatory sandbox designed for local stablecoin issuers. Companies granted access to the program will be able to test their solutions in a controlled environment without the risk of facing the full range of regulatory requirements in the early stages. Applications are open until January 18, 2025.
Compared to the US, where regulations for the crypto industry are updated much more quickly, the UK is moving more cautiously. This approach has previously been criticized, notably by Coinbase, which has claimed that excessive regulatory caution slows innovation and hinders competition with the US market. However, the process of developing new regulations has accelerated significantly in recent months. In the fall, the government announced the creation of the position of "Digital Markets Champion," responsible for promoting innovation in this area.
Additional impetus for regulation was given by the Property (Digital Assets, etc.) Act 2025, a law that formally designated cryptoassets as a separate category of property. Digital assets, including cryptocurrencies and NFTs, are now recognized as a distinct type of property under UK law.
Nikhil Rathi emphasized that technological advances require flexible regulation based on risk assessment rather than rigidly defined rules. This approach, according to the regulator, will allow the country to effectively adapt to changes in the global digital asset market and maintain its leadership position.
It was also previously reported that the UK and the US are planning to establish a joint working group to coordinate policies on digital asset regulation.
