Sep 15, 2025

Key stakeholders: Commission of a Stablecoin, for example Wyoming and monitor of the ‘Reserve’ Licensed Service Providers (LSP), buyers of the ‘Reserve offsetting fiat currency’ and users for payments, transfers and redemption of stablecoin. Buyer or end user (Customer), either corporate or consumer, use the digital wallet which can be used anywhere in the world on a mobile phone. Regulatory Developments Confirmed The world’s two largest economies – US and possibly China (through Hong Kong Monetary Authority: HKMA ) - enacted regulation in August 2025. Comprehensive regulations and Know Your Customer requirements for Stablecoins are covered by both regulators. The identifying the key stakeholders (Commission, LSPs, end users) and infrastructure components (custodians, exchanges, investment managers, clearers) reflects the ecosystem emerging around digital assets. European Union regulations for stablecoins are through the Markets in Crypto-Assets Regulation (MiCAR). Addresses the need for oversight of stablecoins to ensure financial stability and consumer protection within the EU. Starting December 30, 2024, required every exchange, wallet provider, and crypto service operating in Europe needs to obtain CASP licensing or cease operations by July 1, 2026. UK’s Bank of England is in industry consultation on Stablecoin Pound regulations with results expected in 2026. As the broader tokenization trend gains momentum alongside stablecoin regulation the digital wallet looks likely to grow in sophistication by adding digital assets, e.g. shares. Digital Infrastructure Components Custodians – Chase London became the 1st Global Custodian as a large US corporation bought UK Gilts for the first time and asked Chase to look after them. Exchanges – LSE most famous and started 300 years ago in a coffee house Investment Managers - UK has many Data Analysts and Stress Testers - UK has many Clearers – started in London 1770 and in 1833 became the Bankers’ Clearing House. To day the building is now The Counting House pub as money moved into an electronic form The City of London unveiled “Securing growth: the digital verification opportunity” in April 2025. HKMA highlights this requirement in their regulations. Market Potential and Future Applications Given there is $2 trillion in domestic paper currency in other countries with the top five – USA, EU, Japan, UK and China benefit economically. Digital wallet stablecoins should easily supplement that total given the internet. Stablecoins can serve as a bridge between traditional finance and the broader digital asset ecosystem. Potentially paving the way for more complex financial instruments to be digitised and stored in consumer and business wallets. Winston Churchill: 'Now this is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning.'