The New York State Department of Financial Services (DFS) I developed and published the regulatory guidelines on the issue of stablecoins pegged to the dollar. The new rules aim to establish a baseline for the issuance of stablecoins pegged to the USD. In an official announcement, DFS I claimed that Americas first financial regulator would introduce the rules for stablecoin issuers.
New regulatory guidelines for stablecoins
The requirements of the new stablecoin issuance standards pegged to the dollar include:
I trained her to repayment
First, the agency discussed the need for an asset pool to support stablecoins. In addition, the reserve merchant’s value is also equal to the face value of the circulating unit at the end of the day’s payday. To comply with these guidelines, stablecoin issuers must have a clear refund policy. Policies must favor stablecoin holders over redemption rights and be approved in writing by DFS.
More, DFS Declare that all stablecoin owners must separate reserve assets from proprietary assets. During this period, the asset custodian or US federally chartered depository institution must be responsible for the reserves. In addition, the regulators on my highlight the protected air content. They include US Treasuries purchased by stablecoin issuers three months or less before maturity, and an agreement outlining the redemption of reserves backed by US Treasuries. Reserves must also include U.S. Treasury bills approved daily by DFS.
Bonus: Circle adds its USDC stablecoin to the Polygon blockchain network.
In short, DFS I have requested examination of the assertion of the reservations of the address. These reviews must be carried out at least once a month by an independent public accountant (CPA) added in the United States. In addition, the audit was carried out in accordance with the accreditation standards of theAmerican Institute of Accredited Audience accountants (AICPA).
Only for assets regulated by DFS
It is advisable to note that you are not limited to cells that exist. If necessary, the agency can establish the different requirements for the stablecoins specify. Regulatory guidelines only applyto stablecoins regulated pair DFS to tell about which USDP, USB, GUSD and ZUSD. This also applies to other USD-backed stablecoins that entities regulated by DFS seek to issue.
However, DFS I noted that requirements and risks are not the only factors considered by the agency.
According to the informed:“DFS Consider a range of potential risks before allowing a regulated virtual currency entity to issue a stablecoinand buying cybersecurity and information technology risks; network design and maintenance and related technological and operational considerations;Respect secrecy law bank/fight against money laundering (“ BSA/AML “) and penalties; consumer protection; the safety and soundness of the issuing entity; and the stability/integrity of the payment system, if applicable”.
Additionally, checkout.com offers a permanence rule in the authorization of stablecoin payments.