Treasury Unveils Stablecoin Licensing Rules Under GENIUS Act

The US Treasury has proposed new rules for stablecoins under the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, which is expected to take effect on January 18, 2027. The notice of proposed rulemaking defines what it means to issue a payment stablecoin in the United States and introduces licensing requirements for issuers.

The Treasury Department has opened a 60-day public comment period for the proposal, which would prohibit unlicensed digital assets from being issued or sold in the US. From July 18, 2028, digital-asset service providers will be required to only offer stablecoins that are issued by licensed issuers.

Treasury Secretary Scott Bessent described the GENIUS Act as providing a 'landmark framework' for payment stablecoins and emphasized the need for regulatory certainty to encourage innovation and growth in the US digital economy.