The U.S. Stablecoin Bill—specifically Section 110—delivers a major clarification: stablecoins issued by approved entities will not be considered securities. This effectively places them outside the SEC’s jurisdiction and under the authority of banking regulators.
Key highlights of the bill include:
Stablecoins must be backed 1:1 by secure assets such as U.S. dollars or Treasury bonds, offering users financial protection.
Only entities with proper licenses will be allowed to issue stablecoins.
Companies that violate these rules could face significant penalties.
The bill's primary goal is to enhance the safety and reliability of stablecoins while continuing to support crypto innovation. However, political disagreements—particularly concerning regulatory oversight and the potential impact of foreign entities—have slowed the bill’s progress.
If passed, this legislation could shape the future of digital currency regulation in the U.S.