Current outcome
The Federal Reserve proposed rules requiring payment stablecoin issuers to fully back tokens with short-term Treasuries or other highly liquid assets and to meet standardized capital requirements, advancing implementation of the GENIUS Act; the proposal also includes a crisis timeline requiring notification within 24 hours and liquidation by the next business day if reserves fall below token value, with continued minting allowed during the rescue window.
Progress timeline
2 material updates- #01
Federal Reserve Board requests public comment on two proposals related to establishing a regulatory framework for Board-supervised payment stablecoin issuers under the GENIUS Act
The Federal Reserve Board is seeking public comment on two proposals that would establish the regulatory framework for payment stablecoin issuers it supervises under the GENIUS Act.
Source evidence: Federal Reserve Press Releases · Decrypt · tokenpost.com · The Block · CryptoSlate · The Defiant
- #02
U.S. Federal Reserve moves on proposals to implement GENIUS Act for stablecoins
The Fed's two proposals were opened for 60-day public comment periods and newly detailed coverage includes governance of stablecoin yield/rewards programs, capital and reserve requirements, and procedures for Fed-supervised banks to issue stablecoins.
State after update: The Federal Reserve Board has proposed two rules to implement its portion of the GENIUS Act, now open for 60-day public comment, covering stablecoin yield/rewards, capital and reserve requirements, and procedures for supervised banks to issue stablecoins.
Source evidence: CoinDesk