US and UK Treasuries Coordinate Tokenization and Stablecoin Rules

TechFlow News, July 16, according to Cointelegraph, the U.S. Department of the Treasury and the UK Treasury issued joint recommendations as a result of the "Future Markets Transatlantic Working Group," seeking coordination on tokenized asset and stablecoin regulation. Both parties recommended establishing a private sector-led cross-border tokenization use case testing mechanism and promoting financial regulatory authorities to identify common regulatory approaches.

Regarding stablecoins, both parties aim to establish a "cross-border dynamic stablecoin market," requiring stablecoins to be backed by high-quality liquid assets at a ratio of at least 1:1. According to another industry report supported by the UK government, if tokenization develops at scale globally, it could add $44 billion to the UK economic annual output by 2035; the report called on the UK to issue tokenized bonds in the first quarter of 2027.