Will the UK implement caps / limits on individual stablecoin holdings (£10k–£20k) in its regulatory proposals by end-Q4 2025?

UK regulators have floated proposals to cap retail stablecoin exposure to avoid systemic risk. If implemented by year-end, this could restrict DeFi and payments adoption in the UK, setting precedent for other jurisdictions. It would also pressure stablecoin issuers to comply with stricter monitoring, possibly dampening demand.

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