Which country tightened stablecoin rules?

TLDR

The United Kingdom proposed tighter stablecoin rules via a Bank of England plan to cap holdings and impose stricter reserve requirements, and its currently under debate in Parliament (Bank of England plan).

1. The plan would cap retail and corporate stablecoin holdings and require issuers to keep 40% of reserves as unpaid central bank deposits (policy summary).
2. UK lawmakers urged the Chancellor to challenge the proposal; it is not law yet (lawmakers letter).
3. In contrast, Australia eased rules for intermediaries distributing stablecoins this week (regulatory easing).

Deep Dive

1. UK Proposal

The Bank of England circulated a proposal to cap stablecoin holdings for individuals and companies and require issuers to hold 40% of reserves as unpaid deposits at the central bank. This would materially tighten issuance and redemption mechanics if adopted, prioritizing systemic safety over speed and flexibility (policy summary).

2. Status and Debate

UK lawmakers sent a cross?party letter urging the Chancellor to push back, arguing the proposal could undermine the countrys digital?asset ambitions. The plan remains a proposal, not binding law, and is being debated by policymakers and industry stakeholders (lawmakers letter).

3. Global Context

Regulatory direction is not uniform. Australia just eased licensing burdens for intermediaries handling certain stablecoins, allowing omnibus accounts under class relief, signaling a more innovation?friendly stance while longer?term rules are drafted (regulatory easing).

Conclusion

Answer: the United Kingdom moved to tighten stablecoin rules through a Bank of England proposal. The plan is contested and not yet law, while other jurisdictions like Australia are easing access. The next few weeks will determine whether UK caps and reserve mandates proceed, are revised, or are deferred.