Big News from the U.S.: SEC Clears the Air on Stablecoins
In a statement released on April 4th, the SEC’s Division of Corporation Finance declared that certain types of USD-backed stablecoins, now officially called "Covered Stablecoins", are not securities.
Let’s be clear on what that means:
- 1:1 redeemable for USD
- Backed by low-risk, highly liquid reserves
- No interest, no dividends, no “get rich” promises
- Used for payments, not speculation
Translation?
Stablecoins like USDC and USDT (if structured correctly) are seen by the SEC as digital cash, not investment contracts.
This is a big win for crypto clarity in the U.S., and a powerful moment for dollar-denominated digital infrastructure.
Meanwhile in Europe?
We just regulated the largest stablecoin out of the market.
Tether (USDT), the most used stablecoin globally, is being delisted by exchanges due to MiCA restrictions, even though it proved its strength by withstanding massive redemption waves after Terra’s collapse.
No yield. No risk-taking. No collapse. Just utility.
And yet, we said no.
At a time when the U.S. is beginning to separate speculation from infrastructure, we’re still lumping everything together.
You may ask: why do stablecoins matter?
Because they bring:
- Fast, cheap, borderless payments
- Global remittance infrastructure
- Building blocks for DeFi and on-chain finance
- A Euro that can finally compete (if we get it right)
But here’s the catch: we’re not there yet.
And MiCA’s early-stage implementation risks stifling the very competition and innovation it claims to promote.
However, we are not tired to repeat: at OffChain Luxembourg, we believe in Open Money.
That includes stablecoins, powerful tools for a more accessible, inclusive, and efficient financial system.
We’ve already integrated HBD (a USD-backed stablecoin on Hive) into real-world payment flows, from drinks at the bar to dinners with friends.
Because crypto payments should be part of everyday life.
The U.S. is moving forward. Will Europe catch up?
If we don’t want to be left behind, it’s time to look at stablecoins not as threats, but as infrastructure.
Your turn now:
Should the EU re-evaluate how it treats stablecoins?
Tell us what you think 👇
