Capital markets just got a stablecoin unlock from the SEC

The Markets and Trading Division of SEC just clarified that eligible USD payment stablecoins held by broker-dealers will face a 2% haircut under SEC Rule 15c3-1.

➡️ Key takeaways:

1️⃣ 2% haircut on stablecoins aligns with the haircut applied to money market funds holding similar high-quality liquid assets (e.g., cash, U.S. Treasuries)

2️⃣ Stablecoins are deemed “essential” for transacting on blockchain rails and for broker-dealer engagement across tokenized securities and other digital-asset activities.

3️⃣ Commissioner Peirce expressed interest in exploring formal amendments to Rule 15c3-1 to explicitly address payment stablecoins.

Applying a 2% haircut instead of a 100% haircut to eligible payment stablecoins under SEC Rule 15c3-1 fundamentally changes whether broker-dealers can economically hold and use stablecoins in their regulated balance sheet.

➡️ The difference in numbers:

If a broker-dealer holds $100 million of stablecoins and applies a 100% haircut:

$100 million × 100% = $100 million deduction

Under this assumption, stablecoin contributes nothing to net capital requirement at broker-dealer.

Under a 2% haircut, $100 million × 2% = $2 million deduction

Recognized value = $98 million

Now the stablecoin is treated similarly to high-quality liquid instruments such as money market funds backed by Treasuries.

Assume:

Broker-dealer equity capital = $500 million

Stablecoin inventory needed = $200 million

With 100% haircut:

Capital deducted = $200 million

Remaining usable capital = $300 million

With 2% haircut:

Capital deducted = $4 million

Remaining usable capital = $496 million

➡️ The BIGGER picture

The difference directly affects broker-dealer's leverage, trading volume, and ROE. If broker-dealers cannot hold the settlement asset efficiently, tokenized securities markets do not scale. This clarification moves stablecoins from “capital punitive” to “capital viable.”

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