Sarah Breeden, Deputy Governor for Financial Stability at the Bank of England (UK central bank), stated in an interview with the Financial Times (FT) that “Our initial stablecoin regulatory proposals may have been overly conservative,” and added, “We are carefully reviewing other ways to manage stablecoin risks.” This is interpreted as an indication of potential stablecoin regulatory easing, reflecting industry feedback. The Bank of England had previously proposed limiting stablecoin holdings to 20,000 pounds (approximately 40 million KRW) per individual and 10 million pounds (approximately 20.2 billion KRW) per company to prevent outflows from traditional bank deposits. Deputy Governor Breeden added, “The draft at the time was conservatively written based on experiences with potential liquidity crises,” and “We will carefully review whether our approach was excessively conservative.”
