The SEC has clarified that fiat-backed stablecoins redeemable 1:1 for U.S. dollars and backed by low-risk reserves are not considered securities, offering long-awaited clarity for issuers like USDC and USDT. However, the SEC excluded guidance on interest-bearing and algorithmic stablecoins, leaving regulatory uncertainty. This comes as Congress debates the STABLE Act, which excludes yield-bearing features despite pushback from crypto firms like Coinbase. Source: Decrypt
