The FCA's 1% reserve requirement just turned the UK into a stablecoin tax haven; MiCA's 2% issuers are probably checking flights overnight.

CoinWorld News, the UK Financial Conduct Authority (FCA) will require stablecoin issuers to hold only 1% of their circulating tokens as reserves, far lower than the 2% required by the EU under MiCA. This effectively halves the cost of issuing stablecoins in the UK compared to the EU, making the UK a more attractive option. Additionally, the Bank of England has canceled the planned cap on individual holdings of stablecoins, which was originally set at $26,500.