The defining theme of September 2026 was the accelerating convergence of traditional finance, stablecoins and payment infrastructure. Major banks, card networks and regulators moved from experimentation toward implementation, while regulatory frameworks in the UK, EU and US continued to mature.
HM Treasury Publishes Draft Measures for Stablecoin Payments Reform
The UK government published draft amendments to the Financial Services and Markets Act 2000 (Cryptoassets) Regulations 2026, outlining how UK-issued stablecoins will eventually be incorporated into the regulated payments framework. The proposals are intended to avoid unnecessary regulatory duplication and provide a clearer pathway for firms developing stablecoin-based payment services. The Treasury confirmed that wider payments reforms will address how stablecoin payment providers are authorised and supervised, while ensuring innovation is not hindered during the transition period. The publication forms part of the UK’s wider effort to establish a competitive digital asset ecosystem while maintaining regulatory safeguards.
UK Stablecoin Authorisation Gateway Opens
September marked the opening of the FCA authorisation gateway for firms seeking to issue qualifying stablecoins under the UK’s new cryptoasset regime. The framework requires full backing of stablecoins, statutory trust protection of reserves, redemption rights for holders and prudential requirements for issuers. The authorisation process represents the practical beginning of the UK’s regulated stablecoin market and is designed to support both payment innovation and financial stability.
UK Crypto Regulatory Regime Moves into Implementation Phase
The UK’s cryptoasset regulatory framework entered a key implementation stage during September. The regime establishes regulated activities covering qualifying stablecoin issuance, custody, trading venue operation, arranging transactions and lending activities. Particular attention has been focused on distinctions between FCA-regulated stablecoins and those that may become jointly supervised by the Bank of England if designated systemic. The implementation phase is viewed as one of the most significant developments in the UK digital asset sector since the introduction of crypto financial promotion rules.
UK Payments Reform Signals Continued Support for Tokenised Finance
Alongside stablecoin reforms, HM Treasury reiterated its intention to modernise UK payments legislation to accommodate tokenised forms of money. The government highlighted stablecoins as an innovation area capable of supporting faster and more efficient payment services. Policymakers indicated that future reforms will seek alignment between cryptoasset regulation and payments regulation, reducing friction for firms deploying tokenised payment solutions.
European Banking Authority Calls for MiCA Review and Stablecoin Rule Changes
The EBA published recommendations for the first major review of MiCA. The regulator called for stronger oversight of multi-issuer stablecoin arrangements, clearer cryptoasset classification rules and regulation of cryptoasset lending activities. The EBA concluded that MiCA has provided a strong regulatory foundation but argued refinements are required as the market evolves. The recommendations are likely to influence future versions of Europe’s digital asset framework and shape how regulated stablecoins operate across the bloc.
ECB and EU Central Banks Propose Changes to Stablecoin Reserve Rules
The European Central Bank and the wider European System of Central Banks recommended removing MiCA’s requirement that stablecoin issuers hold fixed proportions of reserves in bank deposits. Central banks argued the rule could introduce financial stability risks by replacing traditional deposits with potentially less stable funding structures linked to stablecoin issuance. The proposal represents one of the most consequential interventions in Europe’s stablecoin debate since MiCA came into force.
European Commission Advances MiCA Review Process
The European Commission’s consultation on MiCA entered its final phase during September. Stakeholders were asked to provide feedback on topics including stablecoin reserve requirements, remuneration prohibitions, multi-issuer models and cryptoasset classifications. The review is expected to influence future amendments and help determine whether MiCA remains fit for purpose as digital asset adoption expands across Europe.
ECB Intensifies Focus on Digital Euro and Stablecoin Competition
The ECB continued preparing for a future digital euro while simultaneously highlighting concerns regarding growing use of private stablecoins. During September, the ECB outlined plans for pilot activities and reiterated that a digital euro could help preserve monetary sovereignty in an environment where dollar-backed stablecoins are becoming more widely used. The debate increasingly reflects competition between public digital money and privately issued regulated stablecoins.
Twenty-One Global Financial Institutions Form USD Stablecoin Consortium
Twenty-one major banks and asset managers, including Citi, Goldman Sachs, Bank of America, UBS and Deutsche Bank, agreed to form a company to launch a dollar-backed stablecoin targeting 2027. The consortium plans to support wholesale payments, institutional settlement, retail activity and cross-border transactions. The initiative represents one of the largest coordinated moves by traditional finance into stablecoin infrastructure and directly challenges the dominance of crypto-native issuers.
Visa Stablecoin Settlement Volume Exceeds $20 Billion Annual Run Rate
Visa announced that stablecoin settlement volume across its network had exceeded a US$20 billion annualised run rate, up significantly from earlier in the year. The company also reported more than 160 active stablecoin-linked card programmes and strong year-on-year growth in payment volume. The milestone demonstrates that stablecoins are increasingly being integrated into mainstream payment infrastructure rather than remaining primarily crypto-trading instruments.
Coinbase and Citi Launch Stablecoin-Enabled Payments Infrastructure
Citi and Coinbase expanded their partnership by introducing infrastructure that connects traditional banking services with stablecoin payment rails. The initiative combines Citi’s Virtual Account Wallet with Coinbase Virtual Accounts, enabling businesses to receive funds through familiar banking channels while automatically converting balances into stablecoins. Citi also announced capabilities allowing merchants to accept stablecoin payments while settling in fiat currency.
U.S. Treasury and Federal Regulators Advance GENIUS Act Implementation
US regulators took major steps towards implementing the GENIUS Act. The Treasury published an interim final rule establishing procedures for reviewing state stablecoin regulation regimes, while banking regulators advanced consultation proposals covering reserve assets, risk management standards and issuer supervision. The measures move the United States closer to operational implementation of its federal stablecoin framework and provide greater certainty for regulated issuers.
