This time, stablecoins are not a “let it grow first” situation—they’re first laying out the rules clearly.
On September 24, the Federal Reserve announced two proposals seeking public comment on establishing a regulatory framework for payment stablecoin issuers under its supervision, based on the GENIUS Act. The first proposal would require issuers to use approved high-quality liquid assets—such as short-term U.S. Treasury securities—to provide full reserves for the stablecoin, and would also set standardized capital requirements and risk management standards to address credit and operational risks. At the same time, it would define rules for regulated entities that custody the stablecoin reserve assets, and clarify the scope of permissions for regulated banks to conduct stablecoin and related activities.
The second proposal would establish a dedicated application process for regulated banks seeking to issue payment stablecoins. Applicants would be required to submit documents such as business plans and financial information, and an application appeal, hearing, and final determination process would also be set in place. The public comment period will end 60 days after the proposals are published in the Federal Register. In the market, two scenarios are worth watching: issuers of compliant dollar stablecoins such as USDC and bank-affiliated issuers with a clearer path forward; issuers with weaker reserve transparency, redemption capabilities, or offshore structures will face more direct pressure. Which do you care more about—the licensing thresholds after the rules are finalized, or how reserve assets are allocated?
Figure 1: Federal Reserve seeks input on stablecoin regulation · Source page partial screenshot
Image source: https://www.theblockbeats.info/flash/368918
On September 24, the Federal Reserve announced two proposals seeking public comment on establishing a regulatory framework for payment stablecoin issuers under its supervision, based on the GENIUS Act. The first proposal would require issuers to use approved high-quality liquid assets—such as short-term U.S. Treasury securities—to provide full reserves for the stablecoin, and would also set standardized capital requirements and risk management standards to address credit and operational risks. At the same time, it would define rules for regulated entities that custody the stablecoin reserve assets, and clarify the scope of permissions for regulated banks to conduct stablecoin and related activities.
The second proposal would establish a dedicated application process for regulated banks seeking to issue payment stablecoins. Applicants would be required to submit documents such as business plans and financial information, and an application appeal, hearing, and final determination process would also be set in place. The public comment period will end 60 days after the proposals are published in the Federal Register. In the market, two scenarios are worth watching: issuers of compliant dollar stablecoins such as USDC and bank-affiliated issuers with a clearer path forward; issuers with weaker reserve transparency, redemption capabilities, or offshore structures will face more direct pressure. Which do you care more about—the licensing thresholds after the rules are finalized, or how reserve assets are allocated?
Figure 1: Federal Reserve seeks input on stablecoin regulation · Source page partial screenshot
Image source: https://www.theblockbeats.info/flash/368918
