Yield-Bearing Stablecoin Alternative Receives Approval From SEC

Yield-bearing stablecoins have long been on the wish list of many crypto market participants who use the tokens to facilitate billions of dollars in transactions daily.

Now US investors can earn some passive income while entrusting a stablecoin issuer with their funds. Earlier this week, the Securities and Exchange Commission signed off on securities from Figure Certificate Co. that pay a return. The company says it’s the first yield-bearing stablecoin to be registered with the agency as a security.

Reserves backing the YLDs stablecoin, as it will be known, will be invested in securities such as Treasuries and commercial paper, ...