Not too long ago reported deliberate enforcement motion towards Paxos by the US Securities and Change Fee (SEC) over Binance USD (BUSD) has many in the neighborhood questioning how the regulator might see a stablecoin as a safety.

Blockchain attorneys advised Cointelegraph that whereas the reply is not black and white, there exists an argument for it if the stablecoin was issued out within the expectation of income or are derivatives of securities.