Phil Sham, chief executive of digital asset infrastructure provider Aquanow, said compliance is set to become the main factor separating stablecoin issuers in the race for institutional adoption. He said new accounting standards and regulatory rules in the United States are raising the bar for redemption practices, reserve management, and risk controls, shifting attention away from pure technical advantages.
Sham said institutional investors will increasingly judge stablecoins by whether issuers can meet strict audit requirements, maintain transparent reserves, and offer strong redemption mechanisms. In his view, issuers that can satisfy those standards will stand out in the market and attract more institutional capital.
He also pointed to a proposal released by the U.S. Financial Accounting Standards Board in August. The proposal is intended to give companies holding cryptocurrencies clearer accounting guidance. The comments were reported by Crypto.news and cited by Techub News.
Techub News reported that Phil Sham, chief executive of digital asset infrastructure provider Aquanow, said stablecoin compliance will determine which issuers win institutional adoption as new U.S. accounting standards and regulatory rules raise the bar for redemption, reserves, and risk controls.
Sham said institutional investors will increasingly be driven by compliance rather than technical advantages when adopting stablecoins. He said issuers that can meet strict audit standards, keep reserves transparent, and maintain strong redemption mechanisms will stand out in the competition and draw more institutional capital.
He also pointed to a proposal released in August by the U.S. Financial Accounting Standards Board, or FASB, which is designed to give companies holding cryptocurrencies clearer accounting guidance.
The comments were cited by Techub News from Crypto.news.
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