The United Kingdom’s Financial Conduct Authority has selected four companies to test stablecoin issuance and payment services within its regulatory sandbox. Monee Financial Technologies, ReStabilise, Revolut, and VVTX will pilot use cases including payments and trading under proposed UK rules starting in early 2026. Their findings will directly inform the final stablecoin regulations expected later that year.
The United Kingdom’s Financial Conduct Authority (FCA) has chosen four firms to join a dedicated stablecoin cohort within its long-running Regulatory Sandbox. According to a press release, the regulator selected Monee Financial Technologies, ReStabilise, Revolut and VVTX from a pool of 20 applicants.
Testing will focus on stablecoin issuance and a range of use cases including payments and crypto trading. The findings are intended to inform the UK’s final stablecoin rules, as detailed on the FCA’s website for the dedicated cohort. Matthew Long, the FCA’s director of payments and digital assets, stated the involvement aims to ensure stablecoins can be trusted for payments and settlement.
He said that the FCA’s involvement would “benefit consumers and financial transactions,” and that it would help to “deliver the FCA’s strategy and the Government’s National Payments Vision.” The sandbox cohort opened for applications in November 2025, allowing firms to pilot pound or fiat-backed tokens. All companies must be authorized under the new regime once it goes live in October 2027.
Despite these efforts, the FCA’s plans face industry criticism. Coinbase CEO Brian Armstrong warned the UK’s emerging stablecoin regime risks undercutting competitiveness. In a social media post, Armstrong pointed to Bank of England proposals to cap stablecoin holdings.
He argued such caps would act as an innovation blocker. Armstrong urged UK residents to support a pro-innovation strategy by signing a petition coordinated by advocacy group Stand With Crypto UK.
