# Federal Reserve proposes GENIUS Act standards and an approval process for bank stablecoin issuers

> The Federal Reserve proposed two rules implementing its GENIUS Act responsibilities.

- URL: https://riadefi.com/regulation/2026-09-24-federal-reserve-genius-act-stablecoin-framework/
- Posture: Proposal · not in effect
- Authorities: Board of Governors of the Federal Reserve System
- Event date: 2026-09-24
- Version: 1, published 2026-09-25 (first published 2026-09-25)
- Advisor-relevant: yes

This entry records a proposal. It does not change the law unless it is adopted.

## What changed

The Federal Reserve proposed two rules implementing its GENIUS Act responsibilities. One would establish reserve-backing, standardized capital, risk-management, reserve-safekeeping, and related standards for Board-supervised payment-stablecoin issuers while clarifying certain stablecoin activities for Board-supervised banks. The other would create a tailored application and adjudication process for insured state member banks seeking approval for a subsidiary to issue payment stablecoins. Neither proposal is final or effective, and comments are due 60 days after Federal Register publication.

## Who it affects

- Insured state member banks considering payment-stablecoin issuer subsidiaries
- Board-supervised permitted payment-stablecoin issuers and applicants
- Banks and other Board-supervised firms safeguarding stablecoin reserve assets
- Advisers, custodians, platforms, and clients diligencing bank-issued payment stablecoins

## What is still open

- The provisions the Board will retain or revise after public comment
- The Federal Register publication date and resulting comment deadline
- Final effective and compliance dates
- How the Board's final standards will coordinate with Treasury, OCC, FDIC, FinCEN, OFAC, state, and foreign stablecoin regimes
- How particular reserve, capital, operational-risk, safekeeping, and activity-permissibility requirements will apply to individual issuer structures

## What it means for an advisor

- Identify client and operational exposure to stablecoins issued or proposed to be issued by Board-supervised entities
- Add issuer authorization, reserve composition, capital, risk management, redemption, and reserve-custodian controls to stablecoin due diligence
- Distinguish an application or proposed bank activity from Board approval and distinguish the proposals from binding final rules
- Track Federal Register publication, the comment deadline, and any final or transitional requirements before changing compliance assumptions

## Sources

1. [Application Procedures for Board-Supervised Insured Depository Institutions Seeking Approval for a Subsidiary to Issue Payment Stablecoins](https://www.federalreserve.gov/newsevents/pressreleases/files/bcreg20260924a3.pdf) · Board of Governors of the Federal Reserve System · 2026-09-24
2. [Implementing the Federal Reserve Board’s Responsibilities under the GENIUS Act](https://www.federalreserve.gov/newsevents/pressreleases/files/bcreg20260924a4.pdf) · Board of Governors of the Federal Reserve System · 2026-09-24
3. [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](https://www.federalreserve.gov/newsevents/pressreleases/bcreg20260924a.htm) · Board of Governors of the Federal Reserve System · 2026-09-24


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Published by Ketju Research on RIADeFi (https://riadefi.com). Educational research for financial professionals; not investment, legal, tax, or compliance advice.