Stablecoins and money: can a dollar-pegged token be classified as cash?
A dollar in a bank account and a token targeting a one-dollar value do not automatically belong in the same IFRS cash balance. The finance director must identify the asset and support its classification. A price near parity is market information; it does not settle the accounting question.
For a group using stablecoins to settle transactions, this affects daily reporting. A combined balance may bring together holdings with different rights and payment access. BECTRA recommends reconciling management's liquidity dashboard with the categories used in the financial statements.
Identify cash, cash equivalents and other assets separately
IAS 7 defines cash through cash on hand and demand deposits. Cash equivalents have separate criteria: short-term, highly liquid investments, conversion into known amounts and insignificant value risk, held to meet short-term commitments. [S1]
Three questions structure the stablecoin file:
• Asset held: does the entity own a bank deposit, a token or a claim against an intermediary?
• Exit rights: who must deliver dollars, on what terms and to which eligible entity?
• Proposed classification: what reasoning supports cash, cash equivalents or another category?
This is BECTRA's preparation method. It keeps the treasury system's account mapping from deciding financial presentation by itself. Classification as a financial asset and classification as cash require distinct assessments.
Apply the 2019 decision within its scope
The June 2019 IFRIC decision addresses a subset of cryptoassets without an issuer or a contract between the holder and another party. Its cash discussion also explains the reasoning associated with IAS 32 AG3. [S2]
A stablecoin carrying contractual rights therefore needs an assessment of its own features. Applying the 2019 conclusion without checking that scope would overlook the characteristics that distinguish the token being reviewed. A redemption right alone does not establish that the holding is cash either.
Worked example: a US subsidiary's group reporting
The following figures are hypothetical. A US subsidiary prepares a dollar-denominated IFRS consolidation package for its French parent. It has USD 4 million in an accessible bank account and one million tokens. Its internal dashboard reports “available liquidity: USD 5 million”.
Weekly payroll is USD 800,000. Bank funds cover five weeks: 4,000,000 / 800,000 = 5. Adding the tokens increases the indicator to 6.25 weeks. That additional 1.25 weeks depends on conversion and availability assumptions absent from the original dashboard.
The consolidation controller obtains the custody agreement, redemption terms and evidence identifying the eligible recipient. Where the tokens' IFRS classification is unsupported, the preparer does not automatically add them to bank cash. The working package separates the holding, the conclusion requiring further evidence and management's liquidity assumptions.
This working presentation does not determine the final classification. It allows treasury to plan payroll while distinguishing accessible dollars from an amount dependent on another transaction. It reaches no conclusion on French statutory accounting or US GAAP.
Build a file the closing team can use
BECTRA proposes a separate record for each holding arrangement: owning entity, asset and counterparty, documented rights, classification decision, responsible reviewer and supporting evidence. The file retains the terms applicable at the assessment date, balance evidence and conversion information actually observed.
The team then explains differences between three columns: bank funds, tokens held and management's liquidity measure. Each aggregation should be traceable to the accounts and the group's approved policy. Those responsible for the financial statements finalise the assessment with their advisers and auditors.
Monitor the IASB's IAS 7 project separately. The project page reviewed on 23 October describes work in development; tentative decisions do not constitute a newly applicable stablecoin rule. [S3]
Conclusion
A reviewer should be able to reconstruct the decision from the file. BECTRA can prepare the rights inventory, the reconciliation between treasury reporting and the accounts, and the evidence supporting the classification review. The practical objective is to identify immediately accessible funds and explain other holdings without including them in cash by default.
Further reading
Sources
Sources reviewed on 23 October 2026. Hypothetical case and BECTRA preparation method.
[S1] IFRS Foundation, IAS 7, 2026 issued edition, paragraphs 6–7. This article uses the definitions and does not treat IFRS 18 amendments as already mandatory in 2026. — Read the source
[S2] IFRS Interpretations Committee, Holdings of Cryptocurrencies, June 2019, scope and Cash discussion. — Read the source
[S3] IFRS Foundation, Statement of Cash Flows and Related Matters, project status reviewed on 23 October 2026. — Read the source
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