Federal Reserve Proposes Stablecoin Rules Amid Global Discussion

The U.S. Federal Reserve has proposed new rules for stablecoins issued by payment stablecoin issuers supervised under the GENIUS Act, seeking public feedback on the proposals.

The rules would require Board-supervised entities to fully back their stablecoins with permissible reserve assets, such as short-term Treasury bills and high-quality liquid assets.

The Fed has also proposed standardized capital requirements for banks seeking to issue payment stablecoins, addressing credit and operational risks arising from these activities.