BOE Governor calls for US coordination on stablecoin risks

Bank of England (BOE) Governor Andrew Bailey stated at a recent conference that issues related to stablecoins are an important matter to coordinate with the U.S. administration, Reuters reported. He warned that if the redemption capability of dollar-pegged stablecoins were to be paralyzed, a resulting bank run could lead to a significant influx of funds into the UK. Bailey also pointed out that the proposed U.S. stablecoin regulation, the GENIUS Act, has loopholes concerning guaranteed redemptions.