Bank of England Proposes New Regulations for Stablecoin Holdings

According to BlockBeats, the Bank of England has proposed new regulations for stablecoin holdings, suggesting that 60% of the assets backing stablecoins should be held in short-term UK government bonds, with at least 40% deposited at the Bank of England. The proposal includes a cap on individual stablecoin holdings at £20,000, while businesses would be limited to £10 million. Stablecoins transitioning from the Financial Conduct Authority's regulatory framework could have up to 95% of their reserve assets invested in short-term government bonds.