Payment Stablecoins (EMTs): Legal Definitions, Uses, and Regulatory Parallels between the U.S. and Spain

Introduction

Payment stablecoins (known in Spain as EMTs or E-money Tokens) represent an evolution in digital assets, designed to combine the stability of fiat currencies with the efficiency of blockchain technology. This report explores their definition, uses, regulation in the U.S., equivalents in Spain under the European framework, and provides concrete examples. The regulation of these assets is a hot topic, with debates on innovation, consumer protection, and financial risks, making it crucial to understand the approaches of both the U.S. and Spain.

What are Payment Stablecoins?

Payment stablecoins are digital assets specifically designed to be used as a means of payment or settlement. According to the Clarity for Payment Stablecoins Act of 2023 in the U.S., they are defined as digital assets that:

• Are, or are designed to be, used for payments or settlements.
• The issuer is obligated to redeem them at a fixed monetary value.
• Maintain a stable value relative to a fixed amount of currency.
• Are not national currencies nor securities under the Investment Company Act of 1940.

These assets are typically pegged to a fiat currency, such as the U.S. dollar, backed by reserves of liquid assets at a 1:1 ratio, which ensures stability against the volatility of cryptocurrencies like Bitcoin.

Uses of Payment Stablecoins

Payment stablecoins have multiple applications due to their stability and digital nature:

• Payments and Settlements: Enable fast, low-cost transactions, especially for cross-border payments, reducing intermediaries.
• Boosting E-commerce: Allow online purchases with crypto assets without price fluctuation risks.
• Strengthening Decentralized Finance (DeFi): Serve as a stable unit of account in blockchain platforms.
• Improving International Transfers: Provide an alternative to traditional systems such as SWIFT, with greater speed and lower costs.

Their design makes them ideal for environments where stability is critical, serving as a bridge between traditional and digital finance.

Regulation in the U.S.

In the U.S., payment stablecoin regulation is still developing, with no comprehensive federal law in place as of April 2025. However, several legislative proposals have advanced:

Legislative Proposals

• Clarity for Payment Stablecoins Act (2023): Led by Congressman Patrick McHenry, this proposal defines payment stablecoins and establishes that only authorized entities may issue them, including:
  • Subsidiaries of insured depository institutions.
  • Federally qualified nonbank issuers, regulated by the Office of the Comptroller of the Currency (OCC).
  • State-qualified issuers under equivalent federal standards.
  • Issuers must maintain 1:1 reserves with liquid assets, disclose redemption policies, and publish monthly reserve reports (Congress.gov).
• Lummis-Gillibrand Payment Stablecoin Act (2024): Focused on promoting innovation and protecting consumers, this proposal defines similar requirements, with oversight by the Federal Reserve and OCC for large issuers (Fintech Blog).
• GENIUS Act (2025): Introduced by Senator Bill Hagerty, this seeks a regulatory framework with state-level oversight for small issuers and federal oversight for larger ones (Banking Senate).

These proposals reflect consensus on the need for liquid reserves, transparency, and supervision, but differ on the balance between state and federal regulation. As of April 2025, none have been passed into law (Atlantic Council).

State Regulation

At the state level, New York has led with the BitLicense since 2015, regulating stablecoins as digital assets. The New York Department of Financial Services (NYDFS) requires clear redemption policies and 1:1 reserves, applied to stablecoins such as Gemini Dollar and Paxos Standard (NYDFS).

Existing Federal Oversight

Some federal regulations already apply:

• The OCC allows banks to use blockchain for payments with stablecoins, under anti-money laundering and cybersecurity standards.
• The SEC evaluates whether certain stablecoins are securities, although payment stablecoins are generally excluded (SEC).
• The CFTC regulates algorithmic stablecoins as hybrid instruments.

Controversies

Regulation sparks debate: supporters argue it fosters innovation and strengthens the dollar globally, while critics warn of money laundering risks and crypto speculation (Atlantic Council).

Similar Figures in Spain

In Spain, payment stablecoins have their equivalent in Electronic Money Tokens (EMTs) under the EU’s Markets in Crypto-Assets Regulation (MiCA). MiCA, a global pioneer, classifies stablecoins into:

• EMTs: Stablecoins pegged to a single fiat currency (such as the euro), designed for payments, similar to electronic money under the E-Money Directive.
• ARTs: Tokens referenced to a basket of assets, less relevant for direct payments.

Comparison with the U.S.

Conclusion

Payment stablecoins and their equivalents in Spain (EMTs) are fundamental for the evolution of digital payments, offering stability and efficiency. In the U.S., regulation is advancing with proposals aimed at clarity, while Spain aligns with MiCA for a unified EU framework. Examples such as GUSD, PAX, EURM, and EUROC illustrate their practical application. However, challenges remain, including financial risks and the need to balance innovation with consumer protection. This analysis highlights the importance of robust regulatory frameworks for the future of digital assets.

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