Bank of England stablecoin caps may choke the UK’s pound-token market before launch

- The Bank of England is trying to strangle the GBP stablecoin market before it takes its first breath. The House of Lords rightly called out the BoE’s plan to cap individual holdings at £20k and force issuers to park 40% of reserves in interest-free accounts at the central bank. It’s regulatory suicide. You can’t build a competitive pound-token ecosystem by making it unprofitable for issuers and useless for users. The BoE fears bank runs; the Lords fear irrelevance. If you want a thriving UK crypto market, stop designing rules for a ghost town. Let the market breathe, or watch it die in the sandbox while offshore dollars win.