TechFlow News, February 25: According to a Decrypt report, Coinbase CEO Brian Armstrong warned on Tuesday that the Bank of England’s proposed stablecoin holding limits could cost the UK its status as a global financial hub. “The UK’s stablecoin regulations are being finalized, but they risk undermining the country’s global competitiveness in the digital economy. The current regulatory direction is counterproductive and will stifle innovation.”
Last year, the Bank of England proposed capping individual stablecoin holdings at $26,350 (GBP 20,000) and corporate holdings at $12.7 million (GBP 10 million), while requiring 40% of reserves to be held in non-interest-bearing central bank accounts. UK lawmakers have also warned that this proposal would “stifle innovation, limit adoption, and drive activity overseas.”
