According to @Nick_van_Eck, the core question for traders is what occurs if a stablecoin platform fails to obtain a required charter and whether customer stablecoins must be deprecated, highlighting regulatory and counterparty risk for on-chain liquidity management; he raised this directly on X on Sep 10, 2025: https://twitter.com/Nick_van_Eck/status/1965919924834226655. In New York, fiat-backed stablecoins issued by DFS-regulated entities are subject to the June 2022 stablecoin guidance, which requires full backing, redeemability, and custody at approved institutions, and non-compliant arrangements can face supervisory action, per NYDFS industry guidance: https://www.dfs.ny.gov/industry_guidance/industry_letters/il20220608_stablecoin. A concrete precedent is NYDFS directing Paxos to cease minting BUSD in February 2023, after which Paxos initiated an orderly wind-down and continued redemptions, demonstrating regulators can mandate issuance halts and redemptions rather than perpetual operation without proper authorization: https://www.dfs.ny.gov/press_releases/pr20230213 and https://paxos.com/2023/02/13/paxos-will-halt-minting-of-busd. Following that action, BUSD’s circulating market cap collapsed from its 2023 peak toward near-zero by 2024, and liquidity migrated to other stablecoins, as evidenced by BUSD’s historical market cap chart: https://www.coingecko.com/en/coins/binance-usd. For customer disclosures, NYDFS requires clear, conspicuous redemption policies and terms to be provided to users, which directly addresses what current and prospective customers must be told about redemption rights and operational risks: https://www.dfs.ny.gov/industry_guidance/industry_letters/il20220608_stablecoin. For traders, the precedent indicates that if a charter or equivalent authorization is not secured, regulators can require a halt to new issuance and an orderly redemption wind-down, which historically has led to supply contraction and liquidity reallocation across stablecoin pairs and venues: https://www.dfs.ny.gov/press_releases/pr20230213 and https://www.coingecko.com/en/coins/binance-usd.