Fed just dropped their stablecoin framework and it's actually happening 🇺🇸
Key requirements for Fed-supervised stablecoin issuers:
• Full backing with short-term US Treasuries + high-quality liquid assets
• Must redeem at par even during market stress
• Standardized capital requirements incoming
• Clear redemption rights enforced
60-day comment period starts once it hits the Federal Register
Michael Barr emphasizing reserve asset limits and capital standards means they're serious about preventing UST-style collapses
This is the regulatory clarity the market's been waiting for. Bullish for compliant stablecoin issuers, bearish for offshore unregulated plays
US Treasury-backed stablecoins about to eat the entire market
Key requirements for Fed-supervised stablecoin issuers:
• Full backing with short-term US Treasuries + high-quality liquid assets
• Must redeem at par even during market stress
• Standardized capital requirements incoming
• Clear redemption rights enforced
60-day comment period starts once it hits the Federal Register
Michael Barr emphasizing reserve asset limits and capital standards means they're serious about preventing UST-style collapses
This is the regulatory clarity the market's been waiting for. Bullish for compliant stablecoin issuers, bearish for offshore unregulated plays
US Treasury-backed stablecoins about to eat the entire market
