New Regulatory Proposal Paves Way for Stablecoin Subsidiaries
Regulators are advancing a framework to help financial institutions establish stablecoin subsidiaries, marking a pivotal step in integrating digital assets into mainstream finance. The initiative targets stablecoins—cryptocurrencies pegged to traditional assets—as a focal point for balancing innovation with oversight.
Banks and depository institutions will receive guidelines to navigate the complexities of launching compliant stablecoin operations. This MOVE signals growing institutional acceptance of digital currencies while addressing systemic risks.
The policy could accelerate adoption of stablecoins like USDT, USDC, and DAI, which dominate payment and settlement use cases. Exchanges such as Binance and Coinbase may face heightened compliance requirements as regulators seek to harmonize crypto markets with traditional finance.
