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UK to Draft a Regulatory Framework for Crypto, Stablecoins Early Next Year
Under the plans, stablecoins will no longer fall under the U.K.'s payments regime, Siddiq said at City & Financial Global’s Tokenisation Summit. Rules on staking will be included to prevent it being treated like a collective investment scheme.
The announcement follows months of uncertainty about the Labour government's plans for the industry following its election in July. The previous Conservative government had put in place measures to treat crypto as a regulated activity in the Financial Services and Markets Act and had said that more rules would be coming for stablecoin and staking providers.
CoinDesk reached out to the Treasury for comment.
Read more: Labour Landslide Sets Up Starmer as UK Prime Minister With Unstated Crypto Plans
Edited by Sheldon Reback.