The US SEC issued temporary crypto accounting guidance: Some stablecoins can be treated as cash

On August 5, Bloomberg reported that the U.S. Securities and Exchange Commission (SEC) is making further progress based on preliminary cryptocurrency accounting rules and has issued a new staff guidance stating that certain stablecoins can be treated as cash. According to the latest guidance, holding certain stablecoins pegged to the U.S. dollar can be classified as cash equivalents if these stablecoins have a guaranteed redemption right and their value is anchored to another class of assets.

This interim guidance comes at a time when the SEC is developing regulatory rules for crypto-securities. Under the leadership of SEC Chairman Paul Atkins, the Commission has begun to gradually withdraw some of its more stringent policies, including accounting guidelines that were previously considered to be obstacles for traditional lenders to enter the crypto market.