🚨 SEC SLASHES STABLECOIN HAIRCUT FROM 100% TO JUST 2%, MAJOR REGULATORY SHIFT
🏛️ The U.S. SEC has reduced the capital “haircut” on qualifying payment stablecoins from an effective 100% deduction to just 2%, a move seen as highly favorable for institutional adoption.
📊 In practical terms, broker-dealers can now count $100 in approved stablecoins as roughly $98 toward net capital instead of treating them as nearly worthless on balance sheets.
⚠️ Previously, the 100% haircut made holding stablecoins economically unattractive for regulated firms, limiting their use in settlements and trading infrastructure.
💰 The new guidance aligns compliant stablecoins with conservative money market funds, signaling they are being treated more like cash equivalents in regulated finance.
🔍 The change follows broader regulatory developments like the GENIUS Act, which set clearer reserve and oversight standards for payment stablecoins.
🧠 This shift could significantly boost on-chain settlement and institutional usage, as stablecoins can now sit inside traditional financial plumbing instead of outside it.
🚀 Overall, the decision is being viewed as one of the most market-friendly regulatory signals yet, potentially accelerating stablecoin integration across broker-dealers, exchanges, and tokenized finance.