TechFlow news, April 5 — According to an official statement from the Division of Corporation Finance at the U.S. Securities and Exchange Commission (SEC), certain types of USD-pegged stablecoins are not classified as securities.
The statement specifies that regulated stablecoins with the following characteristics do not require registration as securities: pegged 1:1 to the U.S. dollar, redeemable 1:1 for U.S. dollars at any time, backed by low-risk and highly liquid assets, and with reserve assets valued equal to or exceeding the redemption value of the outstanding stablecoins.
The statement emphasizes that such stablecoins are intended solely for payment, transfer, or value storage purposes, not for investment. Proceeds from sales must be held in a reserve account, and reserve assets may not be used for operations, business activities, collateral, or similar purposes. This guidance applies only to USD-pegged stablecoins and does not include algorithmic stablecoins, other fiat-currency-pegged stablecoins, or any stablecoin products offering yield.
