FCA selects Revolut and three others to test stablecoin innovation in its Regulatory Sandbox

Revolut, along with ReStabilise, Monee Financial Technologies and VVTX, has been chosen by the UK financial watchdog to test the use of stablecoins. 

Source: Financial Conduct Authority

The sandbox, run by the Financial Conduct Authority in coordination with the Bank of England, allows firms to pilot products with real customers at limited scale in a controlled environment.

This comes as the UK races to finalise its stablecoin rulebook by year end, seeking to remain competitive with jurisdictions such as the EU under MiCA and the US, where federal and state level frameworks are already in motion.

Revolut is reportedly exploring a GBP denominated stablecoin designed to maintain a 1:1 peg with sterling, backed by UK reserve assets. The proposed model would allow users to buy, hold, sell and transfer the token within Revolut’s app and across the broader crypto ecosystem.

However, the Bank of England has signalled clear guardrails. Proposed holding limits range from £5,000 to £20,000 for individuals and £1 million to £10 million for businesses. The objective is to enable innovation without undermining monetary transmission, bank funding stability, or systemic resilience.

Matthew Long, Director of Payments and Digital Assets at the FCA: "We are supporting UK stablecoin issuers to ensure they can be trusted for payments, settlement and trading”

Is UK about to get its stablecoin act together?

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