US and UK Propose Joint Recommendations for Stablecoin Regulation

US and UK Collaborate on Stablecoin Framework

The U.S. and UK Treasuries have unveiled ten joint recommendations aimed at harmonizing regulations for stablecoins and tokenized assets, highlighting a collaborative effort between two major financial hubs. This initiative, which includes five recommendations focused specifically on digital assets, is a key step towards enhancing blockchain finance across the Atlantic.

These recommendations were developed by the Transatlantic Taskforce for Markets of the Future, established during President Trump's 2025 UK visit, and are intended to provide a framework rather than enforce binding regulations. Among the proposals is a private-sector initiative to explore cross-border tokenization, along with a supportive statement on stablecoins.

NEW: UK and US collaborate on digital assets, capital markets, and release joint statement on stablecoins. More details: https://t.co/RuzFKIxh6e

— British Embassy Washington (@UKinUSA) July 15, 2026

Focus on Digital Assets and Tokenization

The taskforce urges regulatory bodies like the Bank of England and the SEC to adopt consistent strategies for tokenized assets. This includes the settlement of tokenized securities and the use of stablecoins as collateral. A proposed private sector-led group is expected to test cross-border tokenization applications within the next year, fostering a "multi-money ecosystem" where diverse forms of digital currency can coexist.

Additionally, both governments are crafting a joint statement on stablecoins, advocating for fully backed payment stablecoins and aligning with the U.S. GENIUS Act, which mandates that stablecoins be backed on a one-to-one basis by high-quality liquid assets. The recommendations encourage a technology-neutral approach to how banks manage crypto-related exposures, in line with Basel Committee guidelines.

This initiative aligns with ongoing regulatory development in both nations, with the U.S. implementing the GENIUS Act by 2027 and the UK expected to launch its crypto regulations by October 2027. Both countries aim to align their frameworks with the European Union's MiCA regulations, which became operational in 2024 and will be revised in 2027 to include foreign stablecoin issuers.

Industry Reactions

The response from the crypto industry has been favorable. Katie Harries, Coinbase's head of policy for Europe, referred to the recommendations as a "critical moment for transatlantic cooperation," highlighting the potential to transform global capital markets through tokenization. For the UK, these guidelines aim to reduce regulatory frictions, as noted by Economic Secretary Lucy Rigby, who emphasized the transformative potential of digital assets for UK markets.