Other than the commonly used Wilson’s regularization of quantum field theories (QFTs), there is a growing interest in regularizations that explore lattice models with a strictly finite local Hilbert space, in anticipation of the upcoming era of quantum simulations of QFTs. A notable example is Euclidean qubit regularization, which provides a natural way to recover continuum QFTs that emerge via infrared fixed points of lattice theories. Can such regularizations also capture the physics of ultraviolet fixed points? We present a novel regularization of the asymptotically free massive continuum QFT that emerges at the Berezenski-Kosterlitz-Thouless (BKT) transition through a hard core loop-gas model, discussing the advantages this model provides compared to traditional regularizations. In particular, we demonstrate that without the need for fine-tuning, it can reproduce the universal step-scaling function of the classical lattice XY model in the massive phase as we approach the phase transition.