Banks Can Process Stablecoins Like Cheques (LinkedIn)
Tony McLaughlin (Ubyx) and Mike Ringer (ReStabilize) argue that regulated financial institutions should be allowed to process stablecoins as collection agents under existing banking law, analogously to cheques. They propose that banks and fintechs receive customer stablecoins, present them for redemption, and credit fiat balances, without being reclassified as crypto-asset dealers. This functional approach would make hosted stablecoin wallets commercially viable within banks and enable reusable identity and compliance credentials for self-custody wallets, expanding the effective regulatory perimeter while preserving non-custodial usage. It could shift stablecoin activity from opaque channels into supervised institutions and position the United Kingdom’s financial infrastructure for future sterling stablecoins and tokenized deposits. The key unresolved question is how legislators and supervisors will define the legal boundary between simple collection activity and broader crypto intermediation. [LinkedIn]
Building Gulf Stablecoins and CBDCs Infrastructures (Edgar, Dunn & Company)
Edgar, Dunn & Company published a survey of the development of stablecoins and central bank digital currencies (CBDCs) across the six Gulf Cooperation Council (GCC) states. It argues that strategic motivations — reducing dependence on dollar-denominated Western payment infrastructure, modernizing domestic financial systems, and reasserting monetary sovereignty — are driving a coordinated, regulation-first approach to digital currency development. The UAE and Bahrain are identified as the most advanced jurisdictions, with Saudi Arabia positioned as a rising participant focused primarily on wholesale CBDC applications via Project mBridge. Kuwait, Qatar, and Oman remain at earlier stages. The report characterizes the regional model as a two-tier architecture in which state authorities define the regulatory perimeter while private-sector institutions handle distribution and adoption. Several case studies — including the Digital Dirham, AE Coin, mBridge, and ADIB Smart Sukuk — are presented to illustrate current implementation status. [Edgar, Dunn & Company]
FYI I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.
