US and UK release joint recommendations to align stablecoin and tokenization regulation, supporting cross-border stablecoins and tokenized markets without binding enforcement.
DeFi & Yields ·
The U.S. and UK Treasuries have released 10 joint recommendations aimed at harmonizing their regulatory approaches to stablecoins, tokenized assets, and digital capital markets, emerging from the Transatlantic Taskforce for Markets of the Future established during President Trump's September 2025 visit to the UK. Five of the recommendations specifically target digital assets, while the remaining five address traditional capital markets. Though nonbinding, the guidance charts a common course for both jurisdictions without requiring mutual recognition—a stablecoin licensed in one country would still need approval in the other to operate there.
On the digital side, regulators at the Bank of England, FCA, SEC, and CFTC are to develop consistent methodologies for tokenized securities settlement and collateral treatment of stablecoins and tokenized money market funds. A private-sector working group will spend the next year piloting cross-border tokenization applications, while a joint statement commits both governments to supporting a dynamic stablecoin market backed by high-quality liquid assets on at least a one-to-one basis. The recommendations also call for a technology-neutral reassessment of how the Basel Committee addresses banks' cryptocurrency holdings.
The U.S. is moving forward with implementation of the GENIUS Act ahead of its 2027 effective date, while the UK's cryptoasset regime is slated to launch in October 2027—both efforts tracking alongside the EU's fully operational MiCA framework. It remains unclear whether these parallel tracks will eventually converge further or whether each regime will maintain distinct requirements.