BlockBeats news, on August 5, the U.S. Securities and Exchange Commission (SEC) updated its staff guidance on accounting rules for stablecoins. The core of the new guidance is that if a stablecoin pegged to the U.S. dollar has a guaranteed redemption mechanism and its value stability is linked to another class of assets, it may be classified as 'cash equivalents'.
While the SEC establishes broader cryptocurrency regulatory rules, this latest interim guidance is part of Chairman Paul Atkins' push to lift restrictive measures. For example, in April of this year, the SEC clearly stated that 'covered' stablecoins are not considered securities and confirmed that entities engaged in the issuance and redemption of stablecoins do not need to register with the agency for such activities.