The UK plans to introduce regulations on bank exposure to encryption assets next year.

[The UK plans to introduce restrictions on banks’ exposure to encryption assets next year] David Bailey, Executive Director of Prudential Policy at the Central Bank of the UK, stated that the UK intends to propose new restrictive regulations regarding banks holding encryption assets by 2026 to mitigate financial stability risks. The plan will reference the disclosure framework set by the Basel Committee, which suggests that banks’ exposure to encryption assets such as Bitcoin should be limited to within 1%.