Bank of England Deputy Governor "Limits on stablecoin holdings and trading volumes are temporary measures"

Sarah Breeden, deputy governor of the Bank of England (BOE), said that limits on stablecoin holdings and trading volumes are temporary measures for the stability of the financial system.

On the 16th (local time), according to Cointelegraph, at DC Fintech Week Deputy Governor Breeden said, "The limits on stablecoin holdings and trading volumes are a transitional device for stablecoins to adapt to the funding structure of the economy as a whole," and "Ultimately, the aim is to support stablecoins to play a role as part of a multi-money system (multi-money system)."

Earlier, the Bank of England proposed limit regulations for stablecoins in a November 2023 discussion paper, and afterward the industry pushed back saying it "could hinder innovation and limit growth potential."

Perhaps aware of this, Deputy Governor Breeden explained, "This measure is to gauge the pace of stablecoin adoption and structural changes in the financial system. Once stability is secured, the restrictions will be lifted."