Search results for Sarah Breeden
Crypto
Bank of England says no need to rush digital pound, focus shifts to stablecoins
The Bank of England reaffirmed it is in no rush to issue a digital pound, saying there is no immediate need for a central bank digital currency. Deputy Governor Sarah Breeden said commercial stablecoins and tokenised bank deposits could fill payment gaps. The bank is putting weight on fostering a pound-denominated stablecoin market to prevent shifts to dollar-linked coins. The bank and UK Treasury aim to complete the design phase by end-2026.
AI & Enterprise
Central banks warn of financial risks from agentic AI
European central banks and financial regulators warned that agentic artificial intelligence could increase volatility during periods of financial market stress and urged safeguards. They also said existing regulatory frameworks struggle to keep pace with rapid advances in AI. Bank of England Deputy Governor Sarah Breeden raised the need for mechanisms to limit or halt trading if flawed models trigger a market collapse. European Central Bank President Christine Lagarde cited growing cyber and data risks.
Crypto
Bank of England reconsiders reserve rules for pound stablecoins
The Bank of England is re-examining holding limits and reserve requirements it planned to apply to pound-denominated stablecoins. It is weighing whether to keep temporary caps on how much individuals and companies can hold and whether requiring at least 40 percent of reserve assets to sit as non-interest-bearing deposits at the central bank is too conservative. The review follows industry concerns that the rules would be hard to supervise and would hurt profitability.
