Forex
Fed Proposes Rules for Stablecoin Issuers Under GENIUS Act
The US Federal Reserve has proposed new rules for issuers of dollar-backed stablecoins under the GENIUS Act. The framework aims to ensure that full reserve backing, capital and risk-management standards are met by supervised banks safeguarding assets.
The proposed framework would require payment stablecoin issuers supervised by the Fed to fully back their tokens with permitted reserve assets, including short-term US Treasury bills and other high-quality, liquid assets.
The rules would also introduce standardized capital requirements for stablecoin activities, addressing credit and operational risks associated with payment stablecoin issuance.