The UK’s Financial Conduct Authority (FCA) has presented proposals for stablecoin regulations, aiming to bolster consumer protection while promoting innovation in the crypto industry. These new rules mandate that all stablecoins must be fully backed by highly liquid assets to ensure users can easily exchange them at their face value. Additionally, custodians are required to maintain the security and accessibility of customer assets. Public consultation on these proposals will conclude on July 31st, with implementation anticipated in 2026. However, reactions from industry participants have been mixed. Matthew Osborne, Director of Policy for Ripple UK & Europe, has expressed optimism that these regulations could position the UK as a global leader in digital assets.