US and UK Propose Joint Framework for Stablecoin and Tokenization Regulation

The U.S. Treasury and U.K. Treasury have released a set of 10 joint recommendations to coordinate their regulation of stablecoins, tokenized assets, and traditional capital markets. These recommendations emerge from the Transatlantic Taskforce for Markets of the Future, which was established during President Trump's U.K. state visit in September 2025.

Five of the recommendations focus specifically on digital assets, advocating for unified regulatory frameworks by various financial authorities such as the Bank of England, the Financial Conduct Authority (FCA), the U.S. Securities and Exchange Commission (SEC), and the Commodity Futures Trading Commission (CFTC). The taskforce urges these regulators to establish common approaches to tokenized assets, aiming to clarify critical issues such as the settlement of tokenized securities and the collateral role of stablecoins.

A notable aspect of the recommendations includes the call for a private sector-led initiative to explore cross-border tokenization use cases over the course of a year. Additionally, the U.S. and U.K. are developing a joint statement supporting a dynamic cross-border market for payment stablecoins, which should be fully backed by high-quality liquid assets on at least a one-to-one basis. This aligns with principles outlined in the recently proposed U.S. GENIUS Act.

Coinbase has expressed support for these recommendations, describing them as a crucial moment for collaboration between the U.S. and U.K. on digital asset regulation and finance. The recommendations underscore the importance of developing a regulatory framework that allows blockchain-based finance to flourish across international borders.

What remains to be seen is how these recommendations will influence individual countries' regulatory processes. Stakeholders in the digital assets space will be closely monitoring how different jurisdictions implement these shared principles, as these developments could significantly impact the operational landscape for stablecoins and tokenized finance moving forward.