BlockBeats report: On February 21, this week, the SEC made minor adjustments to its Frequently Asked Questions document on Broker-Dealer Financial Responsibility, allowing SEC-regulated broker-dealers to count held stablecoins as part of their regulatory capital.
“This is not a new rule, but it reduces uncertainty for institutions seeking to operate in compliance with existing securities laws,” said Cody Carbone, CEO of the Digital Chamber.
Tonya Evans, head of a cryptocurrency education institution and board member of Digital Currency Group, posted on X: “This means stablecoins are now treated on corporate balance sheets the same as money market funds. Previously, some broker-dealers assigned a zero value to stablecoin holdings in capital calculations, making holding them a financial penalty—this situation is now over.”
In the past, stricter SEC regulations made it difficult for registered broker-dealers to custody tokenized securities or act as intermediaries. Larry Florio, Vice President and Associate General Counsel at Ethena Labs, explained on LinkedIn: “Everything, from Robinhood to Goldman Sachs, relies on these calculations.” Stablecoins have now become operating capital.
Hester Peirce, SEC Commissioner and head of the Crypto Task Force, issued a statement saying that using stablecoins "will enable broker-dealers to participate in a broader range of tokenized securities and other crypto asset activities," and indicated that she is considering how to revise existing rules to accommodate payment stablecoins.