HomeCoinsLitecoinOCC Issues Final Stablecoin Rule Under GENIUS Act

OCC Issues Final Stablecoin Rule Under GENIUS Act

The US Office of the Comptroller of the Currency finalized rules Wednesday for payment stablecoin reserves, redemptions and related custody activities, implementing the GENIUS Act for entities under its jurisdiction.

The final rule states issuers must maintain reserves worth at least as much as their outstanding stablecoins and generally process redemption requests within two business days.

The rule applies to national banks, federal savings associations and federal branches and their subsidiaries, as well as nonbank firms that seek or receive federal qualified issuer status, according to the agency’s announcement. It also covers state-qualified issuers when the OCC has regulatory or enforcement authority over them.

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The rule and the GENIUS Act will take effect Jan. 18, 2027.

“We are providing a clear, practical framework for payment stablecoin innovation, with strong standards for reserve backing, redemption, and risk management,” Comptroller of the Currency Jonathan Gould said.

The OCC dropped a proposed presumption that certain arrangements involving affiliates or related third parties violate the law’s yield ban. The final rule retains the ban on issuers paying holders interest or yield solely for holding, using or retaining their stablecoins. The agency said it retains authority to act against attempts to evade that prohibition.

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The OCC said it will announce separately when it begins processing issuer applications and waiver requests; the agency and Treasury will address Bank Secrecy Act, anti-money-laundering and sanctions requirements in separate rulemaking.

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