Bank of England Clashes With US Over Stablecoins: ’Banks Must Stay Out of Crypto Issuance’

The Bank of England just drew a line in the sand—and it's aimed squarely at Wall Street. In a move that sets up a transatlantic regulatory showdown, the UK central bank declared traditional banks have no business issuing stablecoins.

Stablecoin Smackdown

Threadneedle Street's latest salvo puts it on a collision course with US regulators, where banking giants have been quietly exploring dollar-pegged crypto projects. The BoE's stance? Keep your fractional-reserve hands off our blockchain.

The Great Banking Divide

While American regulators dance around the issue with 'innovation-friendly' guidance, the Brits went full bulldog. Their reasoning? Mixing deposit-taking with crypto issuance creates systemic risks that could make 2008 look like a tea party.

One cynical observer might note this is the same institution that took 300 years to move from quill pens to digital ledgers—but when it comes to crypto, suddenly they're in a hurry.