Crypto Today: US Stablecoin Accounting Rule, FSB G20 Warning, XRP Patch

Three developments shaped crypto markets today. A Stripe-backed blockchain called Tempo released a report arguing that proposed US accounting standards could remove a key barrier to corporate stablecoin adoption, the Financial Stability Board warned G20 finance officials about stablecoin oversight gaps and AI-related financial risks, and XRP Ledger developers defended an emergency security patch that bypassed the network's standard governance process.

The accounting proposal centers on a potential rule change from the Financial Accounting Standards Board (FASB) that would allow qualifying stablecoins to be classified as cash equivalents on corporate balance sheets. Under current treatment, companies must report stablecoin holdings as other assets, which can distort liquidity ratios and complicate compliance with loan covenants. Tempo noted that classification would hinge on whether a company holds direct redemption rights with the stablecoin issuer, meaning two firms holding identical USDC could receive different accounting treatment. Coinbase cited its direct redemption arrangement with Circle when classifying USDC and other payment stablecoins as cash equivalents in its 2025 annual report. The proposal follows the GENIUS Act and remains open for public comment until November 19.

In a letter to G20 officials on Monday, FSB Chair Andrew Bailey flagged that cross-border mechanisms for stablecoin oversight and crisis management remain immature or undeveloped. The FSB's 2025 review found that only 11 of 28 surveyed jurisdictions had finalized stablecoin regulatory frameworks. Bailey also urged G20 members to back the FSB's newly finalized practices for responsible AI adoption in finance, writing that AI requires continued close attention alongside careful management by financial institutions.

Separately, XRP Ledger developers defended an emergency security patch that was deployed without going through the network's usual validator voting process. The developers argued the expedited response was necessary to address a critical vulnerability, though the decision has renewed debate within the XRP community about governance transparency and the balance between speed and consensus in protocol upgrades.