UK-US Crypto Task Force Aims to Balance Innovation and Stability in Global Markets

Source: [1] UK and US Form Crypto Task Force to Shape Global Digital Assets Rules (https://cryptonews.com/news/uk-and-us-form-crypto-task-force-to-shape-global-digital-assets-rules/)

The United Kingdom and the United States have announced the formation of a joint task force to align regulatory frameworks for digital assets and strengthen transatlantic financial cooperation. Dubbed the Transatlantic Taskforce for Markets of the Future, the initiative was unveiled during U.S. President Donald Trump’s state visit to the UK on September 17, 2025, marking a pivotal step in harmonizing rules for stablecoins, asset custody, and anti-money laundering (AML) standards. The collaboration, led by UK Chancellor of the Exchequer Rachel Reeves and U.S. Treasury Secretary Scott Bessent, aims to reduce regulatory friction for firms operating across both markets while fostering innovation in digital finance.

The task force will integrate priorities from the UK’s Financial Conduct Authority (FCA) and the U.S. Securities and Exchange Commission (SEC), focusing on interoperability of rules to enable seamless cross-border capital raising. Key areas under review include stablecoin oversight, custodial standards, and AML compliance. Industry stakeholders, including executives from Coinbase, Circle, and Ripple, alongside major banks like Citi and Barclays, participated in high-level discussions preceding the announcement. Officials emphasized the initiative’s goal to position the UK and U.S. as global leaders in digital asset innovation while maintaining market stability and investor protection.

Stablecoins are expected to be a central focus, with policymakers noting that aligning UK and U.S. standards could enhance cross-border access for firms and attract U.S. investment into the UK’s financial sector. The UK has accelerated regulatory approvals for crypto firms, with approval rates rising to 45% in 2024–25 from less than 15% over the past five years. Meanwhile, the U.S. is exploring the feasibility of a Strategic Bitcoin Reserve, leveraging government-held Bitcoin from cybercrime seizures, and advancing digital asset integration through policy forums like the White House’s first crypto summit.

The task force will report findings within 180 days to both governments’ Financial Regulatory Working Group, with industry input shaping its recommendations. UK and U.S. officials highlighted the need for “technology-neutral” regulation to balance innovation and risk management. The move comes as the Chainalysis Global Crypto Adoption Index ranks the U.S. second globally in digital asset adoption, while the UK holds the 11th position but remains a key hub for crypto activity.

By addressing regulatory divergence, the task force aims to mitigate burdens for firms navigating dual compliance regimes and bolster the competitiveness of transatlantic capital markets. The initiative reflects broader efforts to adapt to technological shifts, with officials vowing to prioritize stability, trust, and innovation in shaping the future of digital finance. First recommendations are anticipated in early 2026, with long-term goals including the development of a unified approach to digital market infrastructure.