The OCC has issued its first final rule implementing the GENIUS Act, covering stablecoin issuance, custody, and third-party partnerships, effective January 18, 2027. Existing yield and rewards programs receive no automatic grandfathering or safe harbor; compliance will be assessed case by case.

The act prohibits issuers from paying yield solely for holding, using, or retaining stablecoins, but does not ban all third-party rewards. The OCC said rewards based at least partly on other factors may fall outside the prohibition. The implications for programs offered by Coinbase, PayPal, and Kraken remain uncertain.