U.S.-U.K. Stablecoin Roadmap Advances as CLARITY Act Stalls

The U.S. and U.K. said they would not impose heavy reserve requirements on stablecoin issuers. The joint statement, released July 14, outlined a 10-point plan for stablecoins and tokenized assets. The two governments described stablecoins as an important vehicle for innovation in digital money. They intend to enable their use in cross-border finance.

The U.K. had earlier softened its reserve proposal after industry pushback. The Bank of England now allows up to 70% of reserves in yield-bearing bonds. Cash requirements dropped to 30%. That mirrors the U.S. GENIUS Act framework, which mandates reserves backed by highly liquid assets like Treasury bonds. The U.K. also said it would defer capital gains tax for crypto lending to avoid double taxation. The rules take effect in 2027.

The CLARITY Act, a U.S. market structure bill, has stalled. Its odds of passage fell to 32% this year before a brief recovery to 38%, according to data cited in the statement. Ethics provisions have become a sticking point. Miles Jennings, legal chief at a16z, said the bill has turned political. The U.S. risks falling behind because of uncertainty around the CLARITY Act, Jennings said.

The two countries have divergences on some aspects of crypto regulation. The joint statement signals a shared direction on stablecoin rules.