U.S. Bank Regulator Finalizes First Stablecoin Rule Under GENIUS Act

The Office of the Comptroller of the Currency (OCC) issued a final rule on Wednesday putting the GENIUS Act into practice. The GENIUS Act is the federal law that governs dollar-backed "payment stablecoins."

The rule sets requirements for stablecoin issuers under the OCC's oversight, including foreign issuers and certain custody activities. It covers how reserves must back the coins, how holders can redeem them and how risk must be managed. Anti-money-laundering and sanctions rules will come later in a separate rulemaking with the Treasury Department. Both the rule and the law take effect on Jan. 18, 2027.

Treasury Secretary Scott Bessent called the GENIUS Act "a watershed moment in American finance." Comptroller Jonathan V. Gould said the rule provides "a clear, practical framework for payment stablecoin innovation."

CoinDesk reported that a closely watched question is still open. The law bans issuers from paying yield solely for holding a stablecoin. The OCC said it will judge rewards programs case by case, and existing programs on exchanges won't get special protection. The OCC is the first federal agency to finalize its rules under the act. Other regulators are still working on theirs.