180 Days to Harmony: U.S. and U.K. Align Crypto Rules for Global Leadership

The U.S. and U.K. have launched a joint task force to strengthen collaboration on crypto regulation, aiming to harmonize digital asset policies and address cross-border challenges. The initiative, announced following discussions between UK Chancellor Rachel Reeves and U.S. Treasury Secretary Scott Bessent, will focus on aligning stablecoin regulations, establishing anti-money laundering (AML) standards for crypto firms, and creating a favorable environment for digital asset innovation. The task force, led by the U.S. and U.K. Treasuries, will deliver recommendations within 180 days and explore the development of digital securities sandboxes to test blockchain-based solutions across both nations .

A key priority for the task force is harmonizing stablecoin regulations, which are critical to the crypto market’s infrastructure. Both countries aim to reduce barriers for businesses operating in the sector while ensuring robust AML frameworks. The initiative also seeks to streamline cross-border capital-raising efforts, with a focus on reducing regulatory burdens for firms operating in both markets. This collaboration follows the U.S. passing the GENIUS Act, which mandates a framework for payment stablecoins, and the U.K.’s recent publication of draft rules to bring crypto exchanges and dealers under stricter regulatory oversight .

The task force will operate under the existing UK-U.S. Financial Regulatory Working Group, emphasizing short-to-medium term cooperation on digital asset innovation and market structure. Both nations recognize the need to modernize regulatory approaches to maintain their leadership in global digital finance. U.S. Treasury Secretary Scott Bessent has advocated for scaling back regulatory hurdles, while UK Chancellor Reeves emphasized the importance of fostering innovation while curbing fraudulent activities. The task force’s efforts align with broader transatlantic goals to address risks associated with digital assets while promoting economic growth .

Industry stakeholders have welcomed the collaboration. Coinbase, a leading U.S. crypto exchange, expressed support for the initiative, highlighting its potential to create a more cohesive regulatory landscape. George Osborne, an advisor to Coinbase, underscored the urgency for the U.K. to modernize its approach to avoid falling behind in the crypto revolution. Meanwhile, the UK Cryptoasset Business Council described the task force as a “vote of confidence” in the U.K. economy, signaling renewed optimism for the sector’s growth .

The task force’s 180-day timeline reflects the urgency of addressing regulatory fragmentation in the crypto space. By aligning standards for stablecoins and AML compliance, the U.S. and U.K. aim to set a precedent for international cooperation on digital assets. The initiative also underscores the growing recognition of crypto’s role in global finance, with regulators balancing innovation incentives against the need to mitigate systemic risks. As the task force moves forward, its recommendations could influence broader global regulatory frameworks, shaping the future of digital asset governance .