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12 U.S.C. § 5910Treatment of payment stablecoin issuers in insolvency proceedings

submitted 1 year ago by Pub. L. 119-27 to r/title-12-BANKS-AND-BANKING · 176 words · no verdicts yet

in plain englishAI-generated · not legal advice

A translation hasn’t been published for this section yet. The official text below is complete and authoritative.

the actual law source: uscode.house.gov ↗public domain

Subject to section 507(e) of title 11, as added by subsection (d), in any insolvency proceeding of a permitted payment stablecoin issuer under Federal or State law, including any proceeding under that title and any insolvency proceeding administered by a State payment stablecoin regulator with respect to a permitted payment stablecoin issuer—

(1)

the claim of a person holding payment stablecoins issued by the permitted payment stablecoin issuer shall have priority, on a ratable basis with the claims of other persons holding such payment stablecoins, over the claims of the permitted payment stablecoin issuer and any other holder of claims against the permitted payment stablecoin issuer, with respect to required payment stablecoin reserves;

(2)

notwithstanding any other provision of law, including the definition of “claim” under section 101(5) of title 11, any person holding a payment stablecoin issued by the permitted payment stablecoin issuer shall be deemed to hold a claim; and

(3)

the priority under paragraph (1) shall not apply to claims other than those arising directly from the holding of payment stablecoins.

Source credit: (Pub. L. 119–27, § 11(a), July 18, 2025, 139 Stat. 457.)

history & why it existsrecord from the source credit
  • 2025Enacted · Pub. L. 119-27 · 139 Stat. 457

A history note hasn’t been published yet. The record shows enactment by Pub. L. 119-27 on 2025-07-18.

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