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The Bank of England may cancel the plan to limit stablecoin holdings
According to Cointelegraph, Sarah Breeden, Deputy Governor of the Bank of England, testified before the House of Lords Financial Services Regulatory Committee that the central bank is open to methods for managing the risks of stablecoins and is not limited to implementing a holding limit.
Breeden pointed out that the proposed holding limit aims to prevent a large influx of bank deposits into stablecoins, which could potentially restrict lending and reduce the supply of credit to businesses and households. She stated, "We are indeed open to other ways of achieving this goal. I think you heard others mention during the inquiry that this risk to credit provision is real."
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