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• Systemic retail payments - A stablecoin widely used by individuals to make everyday payments such as for shopping and receiving salaries. Holdings by individuals would be subject to the proposed per-coin limits of £20,000. Retail businesses (such as supermarkets) and intermediaries servicing retail customers (such as cryptoasset trading platforms) who may need to hold large balances of such coins could be exempted from the proposed £10 million business limits.
• Systemic corporate payments - A stablecoin widely used by businesses to make business-to-business payments, manage their treasury, and pay suppliers across a global supply chain. Holdings by businesses are subject to the proposed £10 million business limit, with potential for exemptions from these limits in cases where higher holdings are required in the course of normal business.
• Settlement in core wholesale financial markets - A stablecoin used as a settlement asset in core wholesale financial markets by financial market infrastructures (FMIs) regulated by the Bank with reference to the Central Securities Depository Regulations (CSDR), for example to settle corporate bond trades. Under current laws, stablecoins cannot be used by regulated FMIs for the settlement of transferable financial securities as captured under CSDR. The Bank and FCA plan to permit live transactions with financial instruments using certain regulated sterling and non-sterling stablecoins as a settlement asset in the Digital Securities Sandbox (DSS).
• Settlement in non-core wholesale financial markets - A stablecoin used as a settlement asset in wholesale financial markets by firms that are not FMIs regulated by the Bank and are not in scope of the CSDR. For example, stablecoins used for settlement within tokenised investment funds where the unit shares are not traded, or private placements of financial instruments. The Bank would not expect to recommend to HMT that such a stablecoin issuer is recognised as systemic. The stablecoin issuer would be solo-regulated by the FCA (if the stablecoin is issued in the UK and within scope of the regulated activity created by HMT's new legislation). The use of such stablecoins is subject to the risk management processes of the parties involved. Limits and other features of the Bank's regime would not apply to these stablecoins.
• Settlement in cryptoasset markets -  A stablecoin used as a settlement asset for trading in unbacked cryptoassets. While unbacked cryptoassets are growing in popularity, the Financial Policy Committee (FPC) continues to judge that systemic risks to UK financial stability remain limited. The Bank would not expect to recommend that such a stablecoin issuer be recognised as systemic by HMT and would be solo-regulated by the FCA (if the stablecoin is issued in the UK and within scope of the regulated activity created by HMT's new legislation). Limits and other features of the Bank's regime would not apply to these stablecoins.
• Non-systemic retail or corporate payments - Stablecoins that are not widely used by individuals to make retail payments or by businesses to make business-to-business payments would not be recognised as systemic by HMT and would be solo-regulated by the FCA (if the stablecoin is issued in the UK and within scope of the regulated activity created by HMT's new legislation). Limits and other features of the Bank's regime would not apply to these stablecoins.

- Todor