Stablecoins Want a Seat at the Corporate Cash Table — FASB Holds the Chair 🪑

A proposed U.S. accounting rule could remove a key barrier to corporate stablecoin adoption by letting qualifying tokens be classified as cash equivalents on company balance sheets, according to a new report from Stripe-backed blockchain Tempo. The report examines an Accounting Standards Update the Financial Accounting Standards Board (FASB) proposed in August that aims to bring stablecoins within reach of corporate treasury operations.

Under current accounting practices, stablecoin holdings may not count toward a company's reported cash reserves, affecting liquidity ratios and loan covenants even when the tokens are fully backed by dollars. The proposed change could allow companies to use stablecoins for payments and settlements without those accounting complications, Tempo said.

Tempo noted that the FASB proposal would require companies to hold direct redemption rights with stablecoin issuers. Purchasing USDC through an exchange would not automatically let a company classify those tokens as cash equivalents. Tempo cited Coinbase, which classified USDC and other payment stablecoins as cash equivalents in its 2025 annual report, supported by its redemption arrangement with Circle. "Your contract with the issuer is what qualifies, and the token alone doesn't get you there," Tempo said.

The FASB proposal is open for public comment until Nov. 19, after which it will review feedback before finalizing the changes and setting an effective date. The proposal follows the passage of the GENIUS Act in July 2025, which established the first comprehensive federal regulatory framework for payment stablecoins in the United States. The law is scheduled to take effect in January 2027, or 120 days after federal regulators finalize implementing rules, whichever comes first.

The market for U.S. dollar-backed stablecoins has surpassed $300 billion, according to DefiLlama data. The Trump administration is also reportedly exploring ways to promote dollar-backed stablecoins overseas, with Bloomberg reporting that officials are weighing partnerships with private companies and coordination involving the Treasury Department, State Department, and U.S. International Development Finance Corporation (DFC) to reinforce the U.S. dollar's role as the dominant reserve currency.