<![CDATA[Why is the UK planning to cap stablecoin holdings?]]>5dd054f1-ddb9-42e2-89eb-d8b26d84729f-image.png

Q: Why does the Bank of England want limits on stablecoins?
A: The Bank of England is proposing caps to prevent large amounts of money moving out of traditional bank accounts into stablecoins too quickly. They’re concerned this could reduce banks’ ability to lend and disrupt the broader financial system.

Q: What are the proposed limits?
A: The proposal suggests a temporary cap of £20,000 for individuals and £10 million for businesses holding certain UK-regulated stablecoins. These would apply during an initial transition period.

]]>https://undeads.com/forum/topic/17248/why-is-the-uk-planning-to-cap-stablecoin-holdingsRSS for NodeMon, 06 Apr 2026 03:47:55 GMTSat, 21 Mar 2026 04:42:50 GMT60<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:33:45 GMT]]>proposal suggests a temporary cap

]]>https://undeads.com/forum/post/45673https://undeads.com/forum/post/45673Sat, 21 Mar 2026 21:33:45 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:32:31 GMT]]>Crypto vs banks tension just getting started. 👀

]]>https://undeads.com/forum/post/45672https://undeads.com/forum/post/45672Sat, 21 Mar 2026 21:32:31 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:28:35 GMT]]>This is more about control than risk tbh.

]]>https://undeads.com/forum/post/45663https://undeads.com/forum/post/45663Sat, 21 Mar 2026 21:28:35 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:26:39 GMT]]>Regulation always follows where money moves. 😅

]]>https://undeads.com/forum/post/45662https://undeads.com/forum/post/45662Sat, 21 Mar 2026 21:26:39 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:23:42 GMT]]>Stablecoins exposing weaknesses in TradFi system.

]]>https://undeads.com/forum/post/45653https://undeads.com/forum/post/45653Sat, 21 Mar 2026 21:23:42 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:23:00 GMT]]>Governments don’t want instant capital flight.

]]>https://undeads.com/forum/post/45652https://undeads.com/forum/post/45652Sat, 21 Mar 2026 21:23:00 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:18:54 GMT]]>£20k limit feels like a “slow adoption” strategy.

]]>https://undeads.com/forum/post/45643https://undeads.com/forum/post/45643Sat, 21 Mar 2026 21:18:54 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:18:14 GMT]]>If money flows out too fast, lending gets hit hard.

]]>https://undeads.com/forum/post/45642https://undeads.com/forum/post/45642Sat, 21 Mar 2026 21:18:14 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 21:13:59 GMT]]>Caps on stablecoins = banks protecting liquidity. 🏦

]]>https://undeads.com/forum/post/45633https://undeads.com/forum/post/45633Sat, 21 Mar 2026 21:13:59 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 12:47:11 GMT]]>@Olaf oh wow

]]>https://undeads.com/forum/post/45630https://undeads.com/forum/post/45630Sat, 21 Mar 2026 12:47:11 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 12:46:55 GMT]]>everyone trying to outpredict policy that hasn’t even been decided yet

]]>https://undeads.com/forum/post/45629https://undeads.com/forum/post/45629Sat, 21 Mar 2026 12:46:55 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 10:08:35 GMT]]>@Olaf yes I agree

]]>https://undeads.com/forum/post/45582https://undeads.com/forum/post/45582Sat, 21 Mar 2026 10:08:35 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 09:19:01 GMT]]>Investors have found a loophole in the system, and the system is now trying to patch it. In fact, in some countries (I don't know about the UK) taxes are paid on cryptocurrency transactions, so stablecoins are useful for avoiding frequent dives into fiat.

]]>https://undeads.com/forum/post/45573https://undeads.com/forum/post/45573Sat, 21 Mar 2026 09:19:01 GMT<![CDATA[Reply to Why is the UK planning to cap stablecoin holdings? on Sat, 21 Mar 2026 09:17:59 GMT]]>Inwestorzy znaleźli lukę w systemie i system teraz ją próbuje załatać.
W gruncie rzeczy w niektórych krajach (nie wiem jak w GB) płaci się podatki za operacje krypto – FIAT, więc stablecoiny są przydatne do unikania zbyt częstego nurkowania w FIAT

]]>https://undeads.com/forum/post/45572https://undeads.com/forum/post/45572Sat, 21 Mar 2026 09:17:59 GMT