UK and US Issue Joint Stablecoin Position on Reserve and Cross-Border Rules

The UK and US governments have released a joint position on stablecoins through the Future Markets Transatlantic Working Group, supporting coordinated rules on reserves, redemption, market access, and cross-border use. According to Odaily, the two governments stated that stablecoins, if properly regulated, could improve payments, settlement, and financial market infrastructure, while supporting the development of private digital currencies under public sector oversight. The UK and US said that stablecoins used as money should be fully backed at least 1:1 by high-quality liquid assets, with reserve assets segregated from the issuer's own funds, and should provide standards for custody, redemption, and legal rights disclosure for holders. The two countries also indicated they will explore pathways for stablecoins issued in one country to enter the other's market, and support fair, risk-based access to financial services and market access for legitimate, regulated stablecoin and digital asset providers.