The U.S. Treasury Department has released a proposed rule requiring all stablecoin issuers operating in the United States to undergo monthly reserve audits conducted by registered public accounting firms. The proposal also mandates real-time disclosure of reserve compositions and prohibits the use of certain volatile assets as backing.
The rule targets issuers with more than $1 billion in circulation and would require reserves to consist primarily of U.S. Treasury securities, insured bank deposits, and high-quality commercial paper. Issuers would have 18 months to comply after the rule is finalized.
Tether and Circle, the two largest stablecoin issuers, have responded with contrasting positions. Circle, which already publishes monthly attestation reports, expressed support for the proposal. Tether raised concerns about the timeline and argued that the requirements could disadvantage offshore issuers who serve global markets.
