The Ministry of Finance of the United Kingdom announced the development of a legal framework for regulating stablecoins.
As Chancellor of the exchequer Rishi Sunak explained, future regulation is consistent with other challenges in the financial services sector. "New technologies such as stablecoins, privately issued digital currencies, can transform how money is stored and exchanged, making payments cheaper and faster," he said.
Sunak expressed hope that the UK's financial services industry will be able to lead a "global dialogue on new technologies, such as stablecoins and Central Bank digital currencies," amid ongoing negotiations over a post-brexit trade agreement with the European Union.
"We are opening a new Chapter in the history of financial services and renewing the UK's position as the world's leading financial center. Our plans will allow us to continue developing an open, attractive and well-regulated market in the UK, " Sunak added.
He did not go into details, but it follows from his speech that stablecoins will have to meet the same minimum standards that apply to payment methods in General. The document also mentions the Central Bank's ongoing development of a digital currency in the UK. The Chancellor welcomed the cooperation of the Ministry of Finance and the Bank of England in this area, noting that CBDC can be a Supplement for cash in circulation.
In October, the UK financial conduct Authority (FCA) banned the sale of cryptocurrency derivatives to retail traders.