US Accounting Changes May Boost Corporate Interest in Stablecoins, Tempo

A Stripe-backed blockchain startup, Tempo, says a potential change under US accounting rules could remove a practical hurdle for corporate stablecoin adoption: how companies classify certain token holdings on their balance sheets. In a new report, Tempo points to a proposal from the Financial Accounting Standards Board (FASB) that would allow qualifying stablecoins to be treated as “cash equivalents,” a classification that can materially affect liquidity reporting and financing conditions. At issue is that, under current practice, many stablecoin holdings do not automatically count toward a company’s reported cash reserves—even when those tokens are fully backed by US dollars.

Source: Crypto Breaking News