(15 September 2025 – United Kingdom) The Bank of England has drawn criticism for proposals to cap stablecoin holdings at £10,000–£20,000 for individuals and £10 million for businesses.
Officials argue the move would protect deposits in traditional banks, as stablecoins gain traction for real-time payments and interest-bearing returns.
Critics warn the plan could damage the UK’s competitiveness. “This again highlights the scepticism that the Bank of England seems unable to shake off when it comes to digital assets,” said Nick Jones, founder and CEO of Zumo. “No other major jurisdictions are seeking to restrict ownership in this manner, and this would stifle growth and the UK’s competitiveness in a digital economy that’s already becoming heavily dollarised.”
Simon Jennings, executive director of the UK Cryptoasset Business Council, added that enforcing such limits would be “almost impossible”, requiring intrusive systems such as digital IDs or constant wallet coordination.
The approach contrasts with the US, moving ahead with the Genius Act, and the EU’s MiCA framework. The Bank of England will publish a consultation later this year to refine its stance and address industry feedback.