SEC Approves First Interest-Bearing Stablecoin, Signaling Regulatory Shift

According to PANews, the U.S. Securities and Exchange Commission (SEC) has approved Figure Markets to launch the first interest-bearing stablecoin, YLDS. This development indicates a positive shift in U.S. cryptocurrency regulation, moving from a defensive stance to proactive guidance. The approval of YLDS is significant as it successfully navigates the core regulatory challenges faced by stablecoins in the U.S., aligning with existing securities laws, a hurdle that traditional stablecoins like USDT and USDC have yet to overcome. Data shows that since 2024, the market share of interest-bearing stablecoins within the Ethereum ecosystem has increased from 0.4% to approximately 5.4%. OKG Research anticipates that with the SEC's approval, the interest-bearing stablecoin market could experience significant growth over the next 3-5 years, potentially increasing its market share to over 10%. This asset class is expected to become a major attraction for institutional investments, following Bitcoin. Previously, it was reported that Figure received approval from the SEC to issue the first interest-bearing stablecoin.