There are 2 main points that are up for debate:
1. Holding Limits
The BoE is proposing a temporary cap of £20,000 per individual and £10 million for businesses. Coinbase CEO Brian Armstrong has already warned that this could turn the UK into an 'innovation blocker', and the Stand With Crypto UK petition has gathered over 80,000 signatures.
2. Reserve Requirement (60:40 Split)
Issuers are only allowed to hold 60% of reserves in UK government debt, with the remaining 40% needing to be in non-interest-bearing deposits at the BoE — in other words, not generating any yield at all. (BitRss) This is clearly a major issue because the stablecoin business model relies on interest from reserve assets.
#StablecoinTokenizationFunding
#BitcoinBelow79K
#TokenizedTreasuryTVL$15.35B
#BitcoinRatioAbove200DMA
$BTC
1. Holding Limits
The BoE is proposing a temporary cap of £20,000 per individual and £10 million for businesses. Coinbase CEO Brian Armstrong has already warned that this could turn the UK into an 'innovation blocker', and the Stand With Crypto UK petition has gathered over 80,000 signatures.
2. Reserve Requirement (60:40 Split)
Issuers are only allowed to hold 60% of reserves in UK government debt, with the remaining 40% needing to be in non-interest-bearing deposits at the BoE — in other words, not generating any yield at all. (BitRss) This is clearly a major issue because the stablecoin business model relies on interest from reserve assets.
#StablecoinTokenizationFunding
#BitcoinBelow79K
#TokenizedTreasuryTVL$15.35B
#BitcoinRatioAbove200DMA
$BTC
