FASB to Review Stablecoin Classification and Crypto Transfer Accounting in 2026

Following the Genius Act signed by President Trump, the U.S. accounting standards body will assess stablecoins as cash equivalents and develop rules for wrapped tokens and crypto asset derecognition.

BTC
ETH

Summary

The Financial Accounting Standards Board (FASB) will study in 2026 whether certain stablecoins qualify as cash equivalents and create accounting guidance for cryptocurrency transfers, including wrapped tokens and asset derecognition. This move, prompted by the Genius Act signed by President Trump, aims to address gaps in Generally Accepted Accounting Principles (GAAP) for digital assets. Chairman Rich Jones confirmed these projects have been formally added to FASB’s agenda, expanding on prior rules for fair value measurement of Bitcoin and Ethereum that excluded NFTs and some stablecoins.

Terms & Concepts
  • Stablecoin: A cryptocurrency designed to maintain a stable value relative to a reference asset, such as the U.S. dollar.
  • Wrapped Token: A cryptocurrency token that represents another cryptocurrency on a different blockchain, typically using a smart contract (self-executing blockchain code).
  • Cash Equivalent: Short-term, highly liquid investments easily convertible to known cash amounts and subject to minimal value change.