The UK will legislate to bring certain stablecoins into its payments system, the Economic Secretary to the Treasury said Monday. John Glen announced that the government would legislate stablecoins to allow stablecoin users and issuers to operate in the UK. He said that the UK would be looking at crypto like bitcoin regulation as it strives to create a leading regulatory framework.

The UK will regulate stablecoins as payments and is looking to expand its regulation of the cryptocurrency sector to include Bitcoin.

In a Monday speech at Innovate Finance Global Summit Economic Secretary John Glen announced that the UK will regulate crypto like stablecoins, and also look into regulating tokens like Bitcoin.

"I can confirm that we will be legislating to bring certain stablecoins into our payments framework... creating the conditions for stablecoin issuers and service providers to operate and grow in the UK," he said.

"This will allow consumers to use stablecoin payments services with confidence... The government will introduce this legislation as part of an ambitious regulatory regime for stablecoins.

The government announced that stablecoins will be included in the regulation. This will allow them to be used in the UK, as a recognized form of payment.

The UK government is taking measures to regulate and use crypto in the country. This includes tokens like Bitcoin.

Glen stated, "We believe the market has changed sufficiently to us to look at regulating an even wider set of crypto-activity including trading of tokens as Bitcoin." "And we will consult on a world-leading regime for the rest of the crypto-market too... a regime that will facilitate safe and sustainable, and I hope rapid, innovation."

Glen said the government sees significant potential in crypto and wants to take full advantage of it. Cryptocurrencies Having proper regulation isn't a detriment in that aim, he said.

He said, "Having strong and effective regulations won't hinder innovations, it will actually boost them, by giving people the confidence they require to think and plan for the long-term."

The government established a Cryptoasset Engagement Group in order to work more closely and directly with the industry.

Glen stated that regulation will not remain static or rigid, and that it will be refined and revised as necessary.

Rishi Sunak, Finance Minister, said, "It's my ambition that the UK be a global hub cryptoasset technology. The measures we've outlined here will help to ensure that firms can invest in, innovate, and scale up in the country."

Stablecoins are cryptocurrencies that are designed to maintain a stable price over time. They are often tied to and backed with fiat currency such as the US dollars.