Key Takeaways
- Revolut will participate in a UK regulatory sandbox to test a pound-pegged stablecoin approved by the Financial Conduct Authority (FCA).
- The trial includes Revolut and three other firms and will start in the first quarter of 2026.
- It will assess the digital token’s issuance, ensuring it maintains a one-to-one value with the British pound.
- The FCA aims to collect data during testing to help shape stablecoin regulations expected later in 2026.
- This trial represents Revolut’s first regulated test of a domestically issued stablecoin in the UK.
Revolut will participate in a UK regulatory sandbox to test a pound-pegged digital currency. The Financial Conduct Authority selected the fintech for a controlled stablecoin trial. The initiative allows limited live testing under regulatory supervision.
The FCA chose four companies for this program. The selected firms are Revolut, Monee Financial Technologies, ReStabilise, and VVTX. About 20 businesses applied for inclusion. The testing phase is expected to begin in the first quarter of 2026.
How the UK Stablecoin Trial Will Work
The trial will examine the issuance of a digital token linked to the British pound. The stablecoin is structured to maintain a one-to-one value with sterling. Backing assets will support price stability.
Testing will cover several use cases. These include payments, wholesale settlement, and cryptocurrency trading. Activities may occur in live or controlled market conditions. Each participant must operate within existing regulatory permissions.
The FCA will monitor performance and risk controls. Supervisors will provide guidance throughout the testing process.
Regulatory Objectives and Next Steps
The sandbox is designed to support innovation while managing financial risk. The FCA aims to gather operational data from participants. Findings will help shape the final UK framework for stablecoins. Formal rules are expected later in 2026.
The program forms part of broader UK digital asset regulation efforts. Authorities are developing standards for fiat-backed stablecoins operating in the country.
Revolut is headquartered in London. The company holds a UK banking licence with restrictions and is awaiting full approval. The trial marks its first regulated test of a domestically issued stablecoin.
Results from the sandbox will inform long-term policy decisions on digital currency oversight in the United Kingdom.
