#StablecoinLaw
A StableCoin Law refers to any legal framework or regulation that governs the issuance, management, backing, transparency, and usage of stablecoins. It ensures:
1)Consumer protection 🛡️
2)Financial stability 🏦
3)AML/CFT compliance (anti-money laundering / 4)countering the financing of terrorism) 🔍
5)Integration with existing monetary systems 🔗
🌍 Global Landscape (as of mid-2025):
🇺🇸 United States
Clarity for Payment Stablecoins Act (proposed/modified versions being debated)
Stablecoins must be issued by insured depository institutions or licensed entities.
Must maintain 100% reserve backing in cash or short-term Treasuries.
🇪🇺 European Union
MiCA (Markets in Crypto-Assets Regulation) came into effect.
Stablecoins are labeled as “asset-referenced tokens” or “e-money tokens”, and issuers require a license from national regulators.
🇬🇧 United Kingdom
The UK Treasury and FCA are creating rules where stablecoins used for payments will be regulated like other forms of electronic money.
🇸🇬 Singapore
MAS (Monetary Authority of Singapore) has released a Stablecoin Regulatory Framework:
Only single-currency stablecoins (SCS) are recognized.
Must meet standards on value stability, capital, and redemption.
🇯🇵 Japan
Revised laws allow licensed banks, fund transfer services, and trust companies to issue stablecoins.
Assets backing the coins must be held in trusts.