Stablecoin regulation: UK urged to act faster on crypto or fall behind
Over one thousand crypto supporters gathered in East London at the E1 club on Wednesday for Stand With Crypto’s inaugural UK rally.
The rally followed the close of the Zebu Live Conference and the London Blockchain Conference, bringing crypto enthusiasts from all over the world to London.
Stand With Crypto’s movement
Stand With Crypto, a political advocacy movement focused on ensuring digital asset innovation, originally launched in the US, has rapidly built support in the UK, and now has over 150,000 registered advocates.
One hundred thousand of those joined in the past four months.
A petition demanding a pro‑innovation blockchain and stablecoin strategy has already reached 25,000 signatures.
The organisers aim to hit 100,000 signatures to trigger a parliamentary debate.
Stand With Crypto argues that without fast, decisive action, the UK risks falling behind other jurisdictions on crypto adoption and competitiveness.
At the event, Harry Pearce Gould, who leads Stand With Crypto in the UK said: “There is a large constituency of individuals across the world who care deeply about the role of digital assets and crypto-related technologies in society. Stand with Crypto is here to galvanise this grassroots community and make their voices heard so that we can allow the technology to thrive.”
He added: “The global race for digital assets is on — and we want the UK to be a world leader in crypto asset and Web3 innovation. But we need the Government to set the direction and the regulators to create a framework where this innovation can happen.”
UK moves forward with crypto
The rally came after a steady stream of positive developments for the crypto sector over the past few months.
At the beginning of October, investment platform IG was granted a crypto asset licence by the Financial Conduct Authority (FCA), the first UK-listed broker to join the FCA’s crypto asset register.
In mid-October, the City watchdog set out fresh plans to support tokenisation. The FCA unveiled guidance that provides firms and asset managers with clarity on how to adopt the technology effectively in order to boost competitiveness and increase the amount of choice for consumers.
The watchdog is also pursuing a change in its handling of cryptocurrencies, announcing last week that retail investors can buy crypto ETFs.
And earlier this week, BlackRock’s iShares Bitcoin ETP listed on the London Stock Exchange, giving retail investors exposure to bitcoin without the complexities of trading and holding the cryptocurrency directly. The securities of the ETP are 100 per cent physically backed by bitcoin held directly through Coinbase.
Stablecoin developments
However, despite these changes, experts have warned the UK isn’t moving fast enough when it comes to building and implementing stablecoin regulation.
A recent report, Mind the Gap: How stablecoins can secure the UK’s financial future, led by Imperial Business School, found that while the European Union, United States, Singapore, Hong Kong and Japan have all implemented dedicated regulatory frameworks for stablecoins, the UK has yet to act.
The report’s authors warned that without urgent progress, the UK risked falling behind other markets and losing its fintech leadership.
Pearce Gould said: “One hundred and fifty thousand people in this country have signed up to Stand with Crypto in the UK — a truly remarkable number and a serious statement. One hundred thousand of those in the last four months.”
We’ve already launched a petition to Parliament for UK stablecoin leadership — we’ve already achieved twenty‑five thousand signatures, but we need to reach one hundred thousand to force a debate in Parliament.”
Speakers also included Jolly Layard Horsfall (CFO of Flight3) and Harry Horsfall (CEO of Flight3), who echoed the call for regulation that enables rather than obstructs innovation.