ACU Calls For Level Playing Field In Treasury Stablecoin Rules

Update (Oct 21, 12:55 UTC): ACU has called for a level playing field as the US Treasury continues drafting new rules for stablecoin issuers.

The Office of the Comptroller of the Currency (OCC) has finalized its rule implementing the GENIUS Act, establishing regulatory standards for payment stablecoin issuers under its oversight ahead of the law's effective date on January 18, 2027.

According to an OCC bulletin, the finalized framework covers reserve assets, redemption obligations, risk management, custody operations, audits, reporting, applications, and capital and operational backstops. The regulations apply to payment stablecoin issuers falling under OCC jurisdiction, including national bank subsidiaries, federal savings associations, approved federal nonbanks, certain state-qualified issuers, and foreign issuers, alongside specific custody activities at supervised firms.

Scope and Exclusions

While the sweeping framework addresses operational and financial backing requirements, rules concerning the Bank Secrecy Act, anti-money laundering (AML), and sanctions are excluded from the current text. The banking regulator stated that these compliance areas will be addressed through a separate joint rulemaking process with the Treasury Department. Additionally, the OCC will separately announce when it will officially begin accepting applications and waiver requests from prospective issuers.

The agency noted that it received hundreds of comments on its initial proposal from crypto companies, community bankers, trade groups, and academics. Given the early stage of the industry, the regulator stated it will monitor sector developments and adjust its framework as necessary.

Key facts

• The OCC finalized its rule implementing the GENIUS Act on Wednesday, ahead of the law taking effect on January 18, 2027.
• The framework covers reserves, redemption, risk management, custody, audits, and capital backstops.
• Anti-money laundering and sanctions rules are excluded and will be handled via a separate Treasury rulemaking.
• The rules apply to national bank subsidiaries, federal savings associations, approved nonbanks, certain state-qualified issuers, and foreign entities.