After passing the U.S. stablecoin law on the 18th of July, lawmakers now want regulators to fast-track the guidelines for its final implementation.
During the House Financial Services Committee (FSC) hearing on the 2nd of December, Republican Rep. Bryan Steil requested an update from regulators on the matter. He noted,
He added,
The GENIUS Act requires lawmakers to establish proper implementation rules one year after passage, targeting July 2026, with a potential grace period extending into 2027.
It mandates that U.S. payment stablecoins must back their value 1:1 with U.S. dollars or liquid equivalents, such as U.S. Treasury bills.
Furthermore, it imposes annual audit requirements on entities with a market supply exceeding $50 billion, among others. Additionally, various oversight agencies must issue guidelines after completing the rulemaking process to finalize the implementation phase of the bill.
Diverse voices on the GENIUS Act
The House hearing on the 2nd of December focused on reviewing regulatory developments. This included updates from the Federal Reserve, the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Additionally, other relevant agencies were also discussed during the hearing.
For his part, FSC Chairman French Hill said he was proud of the legislative progress on regulatory clarity for digital assets markets. He added,
For the FDIC’s acting chair, Travis Hill, their side of guidelines related to stablecoin issuer liquidity, capital requirements and others would be established by the end of December and finalized by early 2026.
Source: U.S House Chamber
However, opposition from Democrat lawmakers like Bill Foster shared the possible threat posed by interest-paying stablecoins to small banks. Maxine Waters, another Democrat, also raised a conflict of interest issue of President Donald Trump’s family crypto ownership.
Final Thoughts
- U.S. regulators are under pressure to issue the necessary guidelines for implementing the GENIUS Act.
- FDIC’s acting chair said they are ready to draft the rules by the end of December and finalize them by early 2026.
Source: https://ambcrypto.com/get-it-done-on-time-lawmakers-push-regulators-on-genius-act-rollout/
