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 released 10 joint recommendations Tuesday to harmonize their regulatory approaches to stablecoins, tokenized assets, and digital markets, with five of the measures focused on digital assets. The recommendations, developed by a taskforce established during President Trump's September 2025 UK visit, establish no legally binding requirements but chart a shared regulatory direction, including creation of a private-sector group to spend a year testing cross-border tokenization and a joint statement endorsing stablecoins backed one-to-one by high-quality liquid assets. Among the proposals are calls for regulators to develop common standards for tokenized securities settlement and the potential use of stablecoins as collateral, alongside a technology-neutral review of how the Basel Committee addresses banks' cryptocurrency holdings.