OCC Sets Stablecoin Issuer Standards Before GENIUS Act Deadline

The Office of the Comptroller of the Currency (OCC) finalized federal standards for payment stablecoin issuers on Oct. 21, setting requirements ahead of the GENIUS Act’s Jan. 18, 2027, effective date.

The rule covers reserve assets, redemptions, risk management, audits and custody, and includes capital and operational backstops. It applies to issuers under OCC jurisdiction, including bank subsidiaries, nonbank firms seeking federal approval, and certain foreign and state-qualified issuers. Some custody activities at OCC-supervised institutions are also covered.

The OCC has not set a date for opening applications. It will accept applications and waiver requests after the Office of Management and Budget approves the forms.

Existing issuers with substantially complete applications pending by Jan. 18, 2027, may request waivers. A pending application alone does not grant one; the OCC must approve it, and a waiver can last no more than 12 months from that date.

The GENIUS Act became law July 18, 2025. It generally requires payment stablecoin issuers operating in the United States to qualify as permitted issuers starting Jan. 18, 2027. Bank Secrecy Act, anti-money laundering and sanctions requirements will be addressed in separate rulemaking with the Treasury Department.