U.K. Set to Introduce New Crypto and Stablecoin Regulations in Early 2025
UK to Introduce Crypto and Stablecoin Regulations by Early 2025
The UK government is set to reveal draft regulations for the cryptocurrency and stablecoin markets in early 2025, as reported by Bloomberg. Prime Minister Keir Starmer’s administration aims to create a regulatory framework that aligns with those in the European Union and the United States, according to Tulip Siddiq, Secretary to the Treasury.
During a meeting in London, Siddiq shared that the upcoming regulations will govern stablecoins and crypto staking services under a unified set of rules. Initially, the British government planned to present this framework by December 2024. This move was intended to counter the pro-crypto stance expected from the incoming Donald Trump administration.
UK regulators are also keeping an eye on the EU’s Markets in Crypto-Assets (MiCA) regulations, which will take effect at the end of the year. The Bank of England introduced its own stablecoin regulatory plan last November.
Due to the recent change in government, the UK has delayed its expected legislation. Instead of two separate drafts focused on stablecoins and crypto staking, the new approach will be a single overarching regime.
Meanwhile, the US is rapidly becoming more crypto-friendly following Trump’s election win on November 5. Developments include the introduction of a White House ‘crypto czar’ and SEC Chair Gary Gensler’s announcement of his January resignation.
