The country’s financial regulator has outlined draft rules for stablecoins, saying the framework aligns with standards in the United States and European Union and would create a pathway to recognize foreign-issued stablecoins.
Alignment with U.S. and EU Standards
The watchdog said its proposal mirrors core elements seen in major jurisdictions. In the EU, the Markets in Crypto-Assets Regulation (MiCA) introduced dedicated requirements for stablecoins in 2024, including reserve management, redemption rights, governance, disclosures, and oversight for both e-money tokens and asset-referenced tokens. In the U.S., while no comprehensive federal law has been enacted, policy discussions and state-level regimes emphasize consumer protection, reserve quality, and supervision of issuers and intermediaries.
According to the regulator, the draft rules focus on safeguarding users and the financial system by bringing stablecoin issuance and key activities under a clear supervisory perimeter. International alignment is intended to reduce regulatory fragmentation and support cross-border interoperability.
Pathway for Recognizing Foreign Stablecoins
The framework is designed to allow for the recognition of foreign-issued stablecoins, subject to conditions. In practice, recognition typically hinges on whether an issuer meets comparable standards to local rules and can demonstrate robust compliance, transparency, and oversight. This approach could enable overseas stablecoins to operate domestically, potentially improving cross-border payment options and market competition.
Common Regulatory Principles
- Full, high-quality liquid asset (HQLA) reserves and segregation of customer funds
- Clear, enforceable 1:1 redemption rights
- Regular, independent attestations or audits of reserves
- Robust governance, risk management, and operational resilience
- Market conduct rules and transparent disclosures
- Anti–money laundering and counter–terrorism financing compliance
Why It Matters
Stablecoins serve as a key settlement asset in digital markets and a bridge between traditional finance and blockchain-based payments. Clear, internationally aligned rules can increase user protections, lower compliance frictions for firms operating across borders, and provide greater certainty for banks, fintechs, and crypto platforms that integrate stablecoin rails.
The regulator’s proposal signals an effort to harmonize with global standards while opening the door for vetted foreign stablecoins to participate in the local market under defined safeguards.