U.S., U.K. Publish Joint Stablecoin Roadmap as CLARITY Act Stalls

The U.S. and U.K. reiterated their push to cut regulatory friction for digital assets and modernize capital markets, releasing a joint statement on July 14 outlining a 10-point view on stablecoins and tokenized assets with innovation as the central theme. Both governments described stablecoins as a key driver of innovation in digital money and said they want to enable their use in cross-border finance. The statement also flagged areas such as reserves, liquidity and prudential standards for issuers operating across both jurisdictions. Notably, the two countries said they do not intend to impose "burdensome" reserve requirements that are disproportionate to risk or that create unwarranted barriers to entry. The position stands out against the backdrop of the U.K.'s evolving approach to stablecoin reserves. Earlier proposals envisioned a stricter structure in which only 60% of reserves could earn interest, with 40% held as non-yielding deposits at the central bank. Industry participants criticized the plan as anti-competitive. The Bank of England later softened its stance, allowing up to 70% of reserves in yield-bearing bonds and cutting the cash requirement to 30%. The revised approach broadly aligns with the U.S. GENIUS Act framework, which requires reserves to be backed by highly liquid assets such as U.S. Treasury bonds. The U.K. also removed caps on individual stablecoin holdings to better match the U.S. open-market model. Despite the shared direction of travel, the two countries remain apart on key elements of crypto regulation. In the U.K., the government plans to defer capital gains tax on crypto lending to avoid added burden and double taxation. Those rules are expected to take effect in 2027 as part of a broader regulatory package covering stablecoins, exchanges, staking and market abuse. In the U.S., an equivalent crypto market-structure proposal—the CLARITY Act—has stalled and could slip into the 2030s. With ethics provisions proving contentious, market odds of passage fell to a record annual low of 32% before briefly rebounding to 38%. Miles Jennings, legal chief at a16z, said the legislation has increasingly become politicized amid rising anti-tech rhetoric across party lines. The U.S. and U.K. are moving toward a more seamless framework for stablecoins and tokenization, but the U.S. risks losing ground as uncertainty around the CLARITY Act persists. Final Summary The U.S. and U.K. pledged to reduce friction around stablecoin adoption to support innovation in capital markets. The U.S., though, may fall behind as expectations for CLARITY Act passage have dropped to record lows.