# The Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, Article 88G: Qualifying stablecoin


(1) A qualifying stablecoin.
(2) A “qualifying stablecoin” means a qualifying cryptoasset where—
(a) that cryptoasset seeks or purports to maintain a stable value in relation to a particular fiat currency (“the referenced fiat currency”), and
(b) fiat currency (which may be referenced fiat currency referred to in sub-paragraph (a)) or other assets are held for the purpose of maintaining a stable value, in accordance with sub-paragraph (a).
(3) Where a cryptoasset seeks or purports to maintain a stable value in relation to an asset other than a fiat currency, the cryptoasset is not to be regarded as falling within paragraph (2)(a) even if the asset is expressed in terms of a fiat currency.
(4) For the purposes of paragraph (2)(b)—
(a) other assets do not include the cryptoasset itself;
(b) the holding of fiat currency or another asset for the purpose of maintaining a stable value does not include the holding of assets by a person carrying on the activity described in article 5 (accepting deposits), whether authorised or not, for the purpose of complying with its general prudential requirements or meeting its liabilities generally.
(5) In this article, “fiat currency” means the currency of the United Kingdom or any other country or territory, unless that currency is solely a cryptoasset.

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Source: https://www.legislation.gov.uk/uksi/2001/544/article/88G (the official version)
Page: https://openlegislation.uk/financial-services-and-markets-act-2000-regulated-activities-order-2001/article-88G
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.