Janine Hirt
CEO, Innovate Finance
The UK has long been a global leader in financial technology. We have built an ecosystem that creates homegrown unicorns and attracts top talent. But now, we stand at a critical juncture.
Digital assets are no longer just fringe concepts; they are here and already rewiring global financial infrastructure.
The stablecoin opportunity
Stablecoins are an exciting opportunity for businesses and households alike. By linking their value to traditional currencies, they offer the speed and efficiency of blockchain with greater price stability than broader cryptoassets. This presents immense benefits for wholesale settlements, remittances and trade finance — creating a more efficient and inclusive financial system.
Despite growing international momentum, the UK is at risk becoming a global outlier. The current approach from regulators and the Government remains fragmented and overly cautious. The Bank of England’s regulatory proposals will create a framework where sterling-backed stablecoins are commercially unviable.
The UK’s stablecoin ecosystem cannot thrive under these conditions. We need regulation that protects consumers and ensures market integrity without stifling the cutting-edge innovation that defines UK FinTech.
The coming months represent a critical opportunity. The decisions taken now will shape Britain’s role in the future digital economy. A forward-looking regulatory framework for stablecoins would attract investment, encourage talent and create the conditions for UK-based providers to scale. If we act boldly, the UK can lead rather than participate in the next wave of financial innovation.
If we act boldly, the UK can
lead rather than participate in the
next wave of financial innovation.
Collaborative innovation
This is exactly why Innovate Finance recently launched a cross-economy ‘Let’s Go for British Stablecoin Leadership’ coalition.
From charities to business groups, and banks to blockchain providers, the organisations backing the campaign bring to life the potential everyday benefits of stablecoins. They join us in urging policymakers to act now to secure Britain’s position.
The Government and regulators must act now with pace and ambition. A competitive stablecoin framework would signal to the global market that Britain is serious about digital assets.
This is how we attract vital investment, create high-skilled jobs and secure the UK’s position as a world-leading financial centre in the digital age.
