Fed requests comment on two stablecoin proposals

The US Federal Reserve Board requested public comment on two proposals for supervised payment stablecoin issuers under the GENIUS Act. The first proposal would require issuers to fully back stablecoins with reserve assets. The reserves could include short-term Treasury bills and other high-quality, liquid assets. The proposal would standardize capital requirements for credit and operational risks. It would also set risk-management standards. The second proposal would establish an application process for banks seeking to issue payment stablecoins. Banks would submit business plans and financial information. The proposal would create processes for appeals, hearings and final application determinations. The comment period will close 60 days after publication in the Federal Register. US regulatory agencies missed a rule-making deadline under the GENIUS Act. Several agencies published proposed rules and collected public feedback during the preceding year. No final regulations were issued before the deadline. The GENIUS Act established a comprehensive federal regulatory framework for stablecoins in the US. President Donald Trump signed the act into law on July 18, 2025.