Treasury Seeks Public Comment on GENIUS Act Proposed Rulemaking

Notice of Proposed Rulemaking Regarding the Issuance, Offering, and Sale of Payment Stablecoins in the U.S. 

WASHINGTON, D.C. — Today, the U.S. Department of the Treasury issued a Notice of Proposed Rulemaking (NPRM), seeking public comment related to Treasury’s implementation of section 3 of the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act.

“President Trump and Congress delivered the GENIUS Act, establishing a landmark framework and clear rules of the road for payment stablecoins, and Treasury is moving quickly to implement that framework,” said Treasury Secretary Scott Bessent. “Treasury welcomes input from stakeholders as we work to provide the regulatory certainty businesses need to innovate and grow in America, cement the role of the U.S. dollar as the world’s reserve currency, and keep America the crypto capital of the world.”

Beginning on January 18, 2027, the expected effective date of the GENIUS Act, a person generally may not “issue a payment stablecoin in the United States” unless the person has obtained an appropriate federal or state license. In addition, digital asset service providers generally may not offer, sell, or otherwise make available foreign-issued payment stablecoins unless the foreign issuer has the technological capability to comply with, and will comply with, the terms of any lawful order and any reciprocal arrangement between the United States and the issuer’s home jurisdiction. Beginning on July 18, 2028, the Act further provides that digital asset service providers generally may not offer or sell any payment stablecoins to persons “in the United States” unless the payment stablecoins are issued by a licensed issuer.

This NPRM sets forth Treasury’s proposed framework for implementing these requirements. By defining what it means to “issue a payment stablecoin in the United States,” the proposed rule would provide clarity to industry regarding when an issuer needs to obtain a GENIUS license. And by defining what it means to “offer or sell” a payment stablecoin to a person “in the United States,” the proposed regulation would provide clarity to industry regarding when and how payment stablecoins can be offered or sold in U.S. markets.

Today’s NPRM invites the public to offer comments that may be useful for Treasury to consider. Treasury welcomes comments and views from a wide range of stakeholders on the NPRM. The NPRM builds upon the Advance Notice of Proposed Rulemaking that Treasury issued last September seeking public comment on a wide range of matters relating to the implementation of the GENIUS Act.

Members of the public should submit comments in response to the NPRM within 60 days of publication in the Federal Register. Comments responding to this notice will be publicly viewable at www.regulations.gov.