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US accounting rules could ease stablecoin access for corporate treasuries
A Tempo report says a FASB proposal could let some stablecoin holdings qualify as cash equivalents if they include direct redemption rights.
Cointelegraph reports that a proposed US accounting change could reduce a key obstacle to corporate stablecoin adoption by allowing certain tokens to be treated as cash equivalents on company balance sheets.
The outlet said a new report from Stripe-backed blockchain Tempo examines an Accounting Standards Update proposed by the Financial Accounting Standards Board in August, focusing on how direct redemption rights could determine which stablecoins qualify as cash equivalents.
According to Cointelegraph, Tempo argues that under current practices, stablecoin holdings may not count toward corporate repo activities, limiting how companies use them in treasury operations.