Quick Take
- Under the law, entities generally cannot issue payment stablecoins in the U.S. without obtaining an appropriate federal or state license.
- In July 2025, President Trump signed a bill that would create a federal regulatory framework for stablecoins, marking the first significant crypto-related legislation to be signed into law.
The U.S. Treasury Department on Monday will begin seeking public comments on the GENIUS Act, the landmark crypto legislation signed into law last year.
The Treasury issued a Notice of Proposed Rulemaking on Monday seeking public comment on how it plans to implement Section 3 of the Guiding and Establishing National Innovation for U.S. Stablecoins Act.
The GENIUS Act is expected to take effect on Jan. 18, 2027. Under the law, entities generally cannot issue payment stablecoins in the U.S. without obtaining an appropriate federal or state license. Digital asset service providers will also face restrictions on offering or selling foreign-issued payment stablecoins unless the foreign issuer can comply with U.S. legal orders and applicable reciprocal arrangements.
Treasury seeks clarity on stablecoin issuance
In July 2025, U.S. President Donald Trump signed a bill that would create a federal regulatory framework for stablecoins, marking the first significant crypto-related legislation to be signed into law.
Beginning July 18, 2028, digital asset service providers generally will not be permitted to offer or sell payment stablecoins to people in the U.S. unless the tokens are issued by a licensed issuer. Treasury's proposed rules aim to clarify when a stablecoin is considered to be “issued” in the U.S., as well as when an issuer or service provider is considered to be offering or selling a payment stablecoin to a U.S. person.
This builds on an advance notice of proposed rulemaking that was issued by Treasury last September and is now open to public comment.
Treasury said it welcomes input from industry participants and other stakeholders as it develops the regulatory framework. Members of the public will have 60 days after the proposal is published in the Federal Register to submit comments.
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