The U.S. regulatory sphere has witnessed a notable shift regarding stablecoins. In this respect, the U.S. Securities and Exchange Commission (SEC) has repriced stablecoin risk to enhance the integration of traditional finance (TradFi). As per Kyle Chassé’s X post, with this change, broker-dealers can categorize eligible dollar-pegged stablecoins in the class of near-cash traditional financial instruments. Hence, this notably decreases the capital friction in the market.
🚨 SEC JUST REPRICED STABLECOIN RISKThe SEC now lets broker-dealers treat qualifying USD stablecoins as near-cash.Only a 2% haircut on proprietary positions.That puts compliant stablecoins in the same risk bucket as short-term Treasuries.Why?Because reserves, regulated… pic.twitter.com/ZZmidllVkF
— Kyle Chassé 🐸 (@Kylechasse) February 23, 2026
SEC Policy Change Categorizes Stablecoins as Near-Cash Financial Instruments for Broker-Dealers
As the new policy shift suggests, the U.S. SEC has permitted broker-dealers to treat dollar-pegged stablecoins in the category of conventional financial instruments. The policy update reflects the rising confidence in the completely reserved, regulated, and audited stablecoin structures. Additionally, while transparent management and monthly attestations reduce uncertainty, this makes digital dollars relatively predictable in line with the balance-sheet perspective.
This change makes certain stablecoins operational near-cash instruments when it comes to liquidity management and settlement. Thus, broker-dealers can hold stablecoins while fulfilling capital requirements just like highly liquid instruments instead of categorizing them as high-risk financial tools. So, the institutions that formerly avoided using on-chain assets because of risks associated with them can ultimately reconsider their integration.
TradFi Integration Grows as Digital Dollars Become Relatively Balance-Sheet Friendly
The capability to transfer value rapidly while maintaining diverse risk categorizations could effectively streamline trading, post-trade processes, and collateral management. By decreasing the capital charges of keeping stablecoins, the framework incentivizes entities to seamlessly experiment with cutting-edge blockchain rails to carry out real-time clearing. Moreover, with time, this initiative could decrease compliance within the lagging correspondent banking ecosystems and enhance operational efficiency.
According to Kyle Chassé, the stablecoin risk repricing indicates a phase of convergence instead of a hype cycle. By integrating regulated tokenized dollars into the operating risk frameworks, the regulators in the USA are leading toward wider adoption without compelling TradFi entities to overhaul the existing models. Furthermore, while more companies are now considering the usage of stablecoins in the form of operational cash tools, the latest merger of traditional finance and crypto rails could turn it into a standard practice.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Goldman Sachs expects the Federal Reserve to complete the remaining two rate cuts, but the timing remains uncertain.
Goldman Sachs Multi-Asset Fixed Income Investment Director Lindsay Rosner stated that the Federal Reserve should be cautious about delaying interest rate cuts in the face of a weak labor market. Meanwhile, the Middle East conflict influences policy directions, and the complex interplay between inflation and U.S. employment makes the timing of rate cuts uncertain. Goldman Sachs expects to complete two rate cuts to return to a neutral interest rate.
GateNews10m ago
Traders increase bets on the Federal Reserve cutting interest rates at least once in 2026
Gate News Report: On March 6, traders increased their bets, expecting the Federal Reserve to cut interest rates at least once by 2026.
GateNews12m ago
U.S. Treasury yields rise as traders bet on the Federal Reserve cutting interest rates by a total of 44 basis points by December
Following the disappointing employment report, U.S. Treasury yields declined as the market expects the Federal Reserve to cut interest rates this year. The 10-year Treasury yield dropped to 4.1%, and the 2-year Treasury yield fell to 3.53%. Interest rate swaps indicate that traders expect a total of 44 basis points of rate cuts by December.
GateNews12m ago
ETH 15-minute sharp decline of 1.53%: Large investors' short-term profit-taking and ETF capital outflows resonate, triggering a significant drop
From 13:45 to 14:00 on March 6, 2026 (UTC), ETH experienced a significant fluctuation, with a short-term decline of 1.53%. The price fluctuated sharply between 2019.21 and 2051.26 USDT, with an amplitude of 1.56%. High-frequency sell orders surged, market attention spiked, trading volume increased, and the divergence between bulls and bears intensified. Market sentiment became more cautious.
The main driving force behind this fluctuation was large investors and whale accounts reducing their positions after a short-term rebound, leading to a rapid release of large sell orders and triggering short-term selling pressure in the market. On the ETF front, holdings
GateNews13m ago
Weak February employment data in the US sparks expectations of rate cuts; Besant's economic growth claims are contradicted by the data
Natixis analyst Hodge pointed out that weak February employment data could influence Federal Reserve Waller's stance, reinforcing dovish views. Analyst Anstey believes this is a blow to Treasury Secretary Yellen, who had previously seen employment growth in the construction industry as a success model, but recent data shows declines in both construction and manufacturing employment.
GateNews13m ago
Federal Reserve's Daly: No single monthly data point is decisive, and the February non-farm payroll data signal is not clear enough.
Gate News Report: On March 6, U.S. non-farm payrolls for February recorded a decline, with the unemployment rate rising to 4.4%. Federal Reserve officials, including Daly, stated that data from any single month is not decisive; employment data is not a clear signal, but it is also not an incorrect signal.
GateNews14m ago
