; or (iii) in such a manner that, regardless of intent, has the effect of creating a reasonable expectation or belief among the general public that the instrument will retain a nominal redemption value that is so stable as to render the nominal redemption value effectively fixed. (2) Nominal redemption value (A) In general With respect to a stablecoin, the term nominal redemption value means the value at which the stablecoin can readily be converted into United States dollars, or any other national or state currency, or a functional monetary equivalent, on demand, at the time of issuance, or otherwise accepted in payment or to satisfy debts denominated in United States dollars or any other national or state currency. (B) Treatment of instruments pegged to the United States dollar For purposes of subparagraph (A), the value at which a stablecoin that is pegged to the United States dollar or a functional monetary equivalent can readily be converted into United States dollars, on demand, at the time of issuance shall be calculated using the express or implied pegged rate for such conversion at the time of issuance. (C) Treatment of instruments denominated in or pegged to another national or state currency For purposes of subparagraph (A), the value at which a stablecoin that is denominated in or pegged to another national or state currency or a functional monetary equivalent can readily be converted into United States dollars, on demand, at the time of issuance shall be calculated using the express or implied exchange rate for such conversion at the time of issuance. (D) Functional monetary equivalent defined For purposes of this Act and any Act enacted after the date of enactment of this subsection, the term functional monetary equivalent means— (i) deposits, as defined under section 3 of the Federal Deposit Insurance Act; (ii) e-money and money transmitter balances; (iii) other stablecoins