The Bank of England may cancel plans to limit stablecoin holdings

MarsBitNews · 2026-03-12T05:26:36+00:00

Deputy Governor of the Bank of England, Sarah Breeden, testified before the UK House of Lords, stating that the central bank is open to managing the risks of stablecoins and believes that there are various ways to prevent a large influx of bank deposits into stablecoins from affecting credit supply.

MarsBitNews

2026-03-12 05:26:36

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Mars Finance News, March 12 — According to Cointelegraph, Sarah Breeden, Deputy Governor of the Bank of England, testified before the UK House of Lords Financial Services Committee and stated that the central bank is open to managing stablecoin risks and is not limited to implementing holding limits. Breeden pointed out that the proposed holding limits are intended to prevent large inflows of bank deposits into stablecoins, which could restrict lending and reduce credit supply to businesses and households. She said, “We are indeed open to other ways of achieving this goal. I believe you have also heard others mention during the investigation that the risk of credit provision is real.”

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