US UK Agree on Comparable Stablecoin Standards and Cross-Border Regulatory Cooperation

US and UK regulators align on stablecoin frameworks, mandating 1:1 high-quality reserves and comparable risk treatment. Joint efforts aim to harmonize cross-border digital asset rules.

Woofun AI reports that the U.S. Department of the Treasury released a joint statement on August 4, detailing outcomes from the U.S.-UK Financial Regulatory Working Group meeting held in London on July 8. Officials from both nations expanded collaboration across digital assets, stablecoins, payment modernization, AI, financial stability, capital markets, and cross-border financial cooperation.

Participants included finance ministries, the Bank of England, the Federal Reserve, the UK Financial Conduct Authority, and various U.S. regulatory agencies. The U.S. updated progress on the GENIUS Act for stablecoins, while the UK presented its wholesale financial markets digital strategy. Both sides endorsed comparable stablecoin standards, including 1:1 backing by high-quality liquid assets. The FDIC proposed implementation standards covering reserves and risk management, while the Bank of England published draft rules featuring a £40 billion issuance cap for systemic stablecoins. The group plans to reconvene in early 2027.