ICBA and other groups urged the Federal Reserve to extend by 60 days the comment periods for two proposals implementing the GENIUS Act.
Details: In a joint letter, ICBA and the other groups said the Fed should extend the comment period for its prudential and applications proposals to Jan. 29, 2027, because:
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An OCC proposal that is the Fed’s benchmark for public comment on the prudential proposal is about to change.
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The proposals are substantial and will take time to carefully analyze.
Background: The Fed last month proposed two rules related to establishing a regulatory framework for payment stablecoin issuers under the GENIUS Act.
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The first proposal would require that payment stablecoin issuers fully back their stablecoins with reserve assets such as short-term Treasury bills and other high-quality, liquid assets.
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The second proposal would establish a tailored application process for banks applying to issue payment stablecoins.
ICBA Advocacy: In response to earlier proposals by the OCC and FDIC, ICBA called on the FDIC to adopt a strict payment stablecoin framework and urged the OCC to strengthen its proposal to protect against stablecoin risks.