Treasury Proposes Stablecoin Rules Under GENIUS Act, Curbing Foreign Sales

"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," Treasury Secretary Scott Bessent wrote on X. Bessent said the rules would provide regulatory certainty while helping "cement the role of the U.S. dollar" and welcomed public input.

Public comments are due Oct. 19, 2026, 60 days after the proposal's publication in the Federal Register.

The proposal is the latest in a series of GENIUS Act rulemakings. In February, the Office of the Comptroller of the Currency proposed rules on stablecoin issuance and oversight. The FDIC followed in April with requirements for reserves, redemptions, capital, and risk management. Treasury separately proposed anti-money laundering and sanctions rules in April, requiring issuers to report suspicious activity and maintain the ability to block or freeze transactions.

Those compliance rules have drawn criticism from the crypto industry. In June, Paradigm and the Hyperliquid Policy Center warned that making issuers responsible for stablecoins after they enter secondary markets could push them away from decentralized finance. Treasury's latest proposal does not address that concern directly.