In a recent bilateral working group, the US and the UK reiterated their commitment to further financial regulatory cooperation, indicating ongoing policy agreement on digital assets as US authorities prepare to enact historic stablecoin legislation.
Stablecoin regulation, tokenization, the US digital asset market structure, and the UK’s Wholesale Financial Markets Digital Strategy were all topics of discussion during the 13th meeting of the UK-US Financial Regulatory Working Group (FRWG), which took place in London on July 8.
US authorities informed their UK colleagues on the implementation of the GENIUS Act, the nation’s historic stablecoin law, as well as ongoing work on the structure of the digital asset market, according to a joint statement released on August 4 that summarized the meeting. The G20 Cross-border Payments Roadmap, a worldwide endeavor to enhance cross-border payments, and payment modernization were also discussed by participants.
The meeting demonstrated a common commitment to coordinating regulation across important areas of the digital asset business, even though it did not result in new policy initiatives. The declaration emphasized international regulatory collaboration and financial stability while generally endorsing “responsible” digital asset innovation.
The Transatlantic Taskforce for Markets of the Future, a joint US-UK project aimed at enhancing collaboration on financial innovation and capital markets, released its preliminary proposals and a joint statement on stablecoins on July 14, further demonstrating this commitment. According to the governments, the actions would set the stage for the United States and the United Kingdom to maintain their leadership in capital markets and digital assets.
The United States, where the GENIUS Act has boosted momentum behind regulated dollar-backed stablecoins, is gaining ground on the UK, according to some industry experts. This is why the UK is placing a fresh emphasis on stablecoins.
Additionally, the Bank of England has changed its position on the regulation of stablecoins. The BoE is examining alternatives to short-term restrictions on stablecoin holdings and determining if their plan, which calls for at least 40% of reserve assets to be kept as non-interest-bearing deposits with the central bank, is excessively restrictive, as Cointelegraph reported in May.
Separately, earlier this year, the UK’s Financial Conduct Authority stated that one of the most obvious near-term applications for stablecoins is cross-border payments, highlighting the rising regulatory acceptance of the technology’s potential.
THE BLOCK: U.S. and UK financial regulators reaffirmed support for responsible digital asset innovation in a joint statement, highlighting ongoing work on stablecoins, tokenization, and payment modernization.
The statement follows the latest meeting of the U.S.-UK Financial… pic.twitter.com/mFczIMpn8X
— The Block (@TheBlockCo) August 5, 2026
Stay informed with the latest trends in Web3, blockchain innovation, and cybersecurity updates at 3verseTV
You need to login in order to Like
Leave a comment