Stablecoin reporting: AICPA’s updated criteria includes controls

A new section in the AICPA’s stablecoin criteria provides issuers and practitioners with control objectives for stablecoin operations.

The update to 2025 Criteria for Stablecoin Reporting: Specific to Asset-Backed Fiat-Pegged Tokens features the addition of “Part II: 2025 Criteria for Controls Supporting Token Operations.” While Part I, published last year, established a common framework for stablecoin issuers to present and disclose information at a specific point in time on outstanding stablecoins and the assets backing them, Part II addresses the ongoing risks inherent in stablecoin operations.

“Last year saw significant momentum around stablecoin regulation, with policymakers increasingly focused on how these stablecoins are issued and how the reserves are managed,” Di Krupica, CPA, senior manager–Digital Assets, Assurance and Advisory Innovation at the AICPA, said in a news release. “The AICPA’s update for the new section of the criteria responds to that environment by providing a clear, practical framework for evaluating whether the controls supporting stablecoin operations are designed and operating effectively.”

According to the news release, the new material:

• Increases trust in stablecoins: Over the last two years, lawmakers in the United States and internationally increased their attention on stablecoins, emphasizing the importance of reserve integrity, risk management, governance, and the reliability of information provided to users and markets. As governments and regulatory bodies continue to evaluate rules for the issuance and oversight of stablecoins, the need for well-designed and effectively operating controls has become central to trust in these types of digital assets.
• Addresses risks commonly associated with stablecoin issuers’ operations: Effective, well‑designed controls support the accuracy of information presented and disclosed. They also ensure that all controls surrounding stablecoin operations, such as issuance, redemptions, asset custody, and vendor management, are operating as intended. The newly added criteria establish a common framework for stablecoin issuers to identify risks commonly associated with stablecoin operations and provide control objectives for evaluating the design and operating effectiveness of controls across all aspects of those operations over a specified period of time.
• Includes implementation guidance to assist issuers and practitioners: To support application in practice, the criteria include implementation guidance for stablecoin issuers and practitioners in assessing whether controls achieve their stated objectives.

— To comment on this article or to suggest an idea for another article, contact Bryan Strickland at Bryan.Strickland@aicpa-cima.com.