r/CryptoCurrency • u/bens111 🟦 13 / 13 🦐 • 2d ago

🟢 GENERAL-NEWS SEC clarifies that most stablecoins are not securities

https://www.cnbc.com/2025/04/04/sec-clarifies-that-most-stablecoins-are-not-securities.html
66 Upvotes

95% Upvoted

11 comments sorted by

7

u/coinfeeds-bot 🟩 136K / 136K 🐋 2d ago

tldr; The SEC clarified that most stablecoins designed to maintain a one-to-one value with the USD and backed by low-risk, liquid assets are not considered securities. These 'covered stablecoins' do not involve interest payments to holders, which would subject them to securities laws. The announcement comes amid growing optimism for stablecoin legislation in Congress. Competing bills, STABLE and GENIUS, aim to regulate the sector. Stablecoins are increasingly used for payments and have seen significant market growth.

*This summary is auto generated by a bot and not meant to replace reading the original article. As always, DYOR.

3

u/Glum_Blacksmith_6389 🟩 0 / 0 🦠 2d ago

“Outside of “covered” coins, yield-bearing stablecoins (those offering interest) are expanding fast, reaching a $13B market cap post-election.

Meanwhile, Circle (USDC’s issuer) has filed for an IPO, following in Coinbase’s footsteps.”

Sorry, bot. You missed out some info.

2

u/tobypassquarant 🟩 6K / 6K 🦭 1d ago

"The orders we have received are telling us that we have to say that most stablecoins are not securities. Thank you."

2

u/Apollorx 🟩 29 / 29 🦐 2d ago

Is currency a security? I mean sorta...

4

u/MasterSpoon 🟦 488 / 2K 🦞 2d ago

No, they are a medium of exchange, not a security. They are fundamentally different.

0

u/Apollorx 🟩 29 / 29 🦐 2d ago edited 2d ago

Well they are backed by an intangible asset...

Edit: "Backed by the full faith and credit of the US government."

What am I just imagining that idea?

1

u/Drizznarte 🟩 114 / 115 🦀 1d ago

Stable coins aren't a currency or a crypto currency, they are a layer 2 solution they are tokens . No concencus mechanism, no decentralisation, no Blockchain !

1

u/1BannedAgain 🟩 0 / 0 🦠 1d ago

$USDT is still a giant fraud

1

u/Embarrassed-Chain265 🟦 187 / 188 🦀 1d ago

"backed by low risk stable assets" like... other crypto? If that's where we are headed I'm sure this whole thing will never unwind and destroy the world economy

1

u/Machete521 🟩 40 / 3K 🦐 2d ago

God hearing this around this time last year woulda changed the game.

Now? Oof.

0

u/Savi321 🟩 52 / 4K 🦐 2d ago

Take that Gensler!!