The United States and the United Kingdom said they will keep coordinating on stablecoin oversight and digital asset market structure after the 13th Financial Regulatory Working Group meeting in London on July 8. A joint statement released by the US Treasury on Aug. 4 said the US is implementing the GENIUS Act and working with the UK on payment system modernization and the G20 cross-border payments roadmap.
Stablecoin policy stays on the joint agenda
According to the joint statement, both sides agreed to continue aligning policy on stablecoin regulation and digital asset market structure through the Financial Regulatory Working Group, or FRWG. The talks in London also covered the regulatory framework for cross-border payments and tokenized finance.
The statement presents stablecoins as part of a wider transatlantic coordination effort. The US has already started putting the GENIUS Act into effect, while the UK is adjusting parts of its own approach.
GENIUS Act rollout gives the US a defined framework
The GENIUS Act, short for Getting Every Network Independently Unified on Standards, is described in the source article as the first US law focused specifically on stablecoins. It requires issuers to maintain 1:1 reserves, places them under Office of the Comptroller of the Currency, or OCC, supervision, and caps any single issuer's market share at 10% to limit concentration of systemic risk.
During the meeting, the US briefed the UK on implementation progress. The source article frames that update as a concrete sign that transatlantic regulatory alignment is moving beyond broad discussion.
UK reviews reserve rules and holding limits
The UK, by contrast, is moving to relax parts of its stablecoin regime, according to the article. The Bank of England said in May that it was considering replacing a proposed temporary holding cap and reviewing a requirement that at least 40% of reserve assets be held at the central bank as non-interest-bearing deposits.
The article says that requirement had been seen by the industry as overly strict. Earlier this year, the Financial Conduct Authority, or FCA, also said cross-border payments were one of the clearest near-term use cases for stablecoins, reflecting a shift in tone from caution to a more practical approach.
Tokenization is moving in parallel
The article also points to the Transatlantic Taskforce for Markets of the Future, which released preliminary recommendations and a joint stablecoin statement on July 14. The taskforce is jointly led by the two countries' finance ministries and focuses on financial innovation, deeper capital markets and tokenization.
In the source article, that taskforce is presented as a longer-term mechanism for maintaining US-UK leadership in digital assets, with stablecoins and tokenized assets advancing on the same track.
The source article also compares Taiwan's position
The article says Taiwan's regulatory framework remains at the draft stage when compared with the US and UK push on stablecoins and tokenization. It notes that Taiwan's Financial Supervisory Commission proposed a trial framework for crypto asset service providers in 2022, but that effort has not yet moved into legislation.
The source article adds that, after the GENIUS Act passed, the US had established what it called the most complete stablecoin regulatory concept in the world. It also argues that Taiwan-based firms could be pushed farther from the mainstream ecosystem if they fail to connect with international standards in cross-border payments and tokenization.