<\/p>\n
US Federal Deposit Insurance Corporation Chairman Travis Hill has confirmed that his agency will propose a new application framework for stablecoin issuers later this month.<\/p>\n
<\/p>\n
Through a written testimony<\/a> to be delivered before the House Financial Services Committee on Dec. 2, Hill stated that the FDIC has begun work to promulgate rules to implement the GENIUS Act, and a formal proposal is expected later this month.<\/p>\n \u201cWe expect to issue a proposed rule to establish our application framework later this month and a proposed rule to implement the GENIUS Act\u2019s prudential requirements for FDIC-supervised payment stablecoin issuers early next year,\u201d Hill said.<\/p>\n The GENIUS Act, which is considered a landmark regulatory development, was signed into law by President Donald Trump earlier this year. It outlines how multiple federal and state agencies, including the FDIC, will oversee and license stablecoin issuers operating in the United States.<\/p>\n According to Hill, the FDIC will be responsible for licensing and supervising subsidiaries of insured depository institutions that issue payment stablecoins, adding that the GENIUS Act will require several rulemakings to be completed over the coming year.<\/p>\n The FDIC will also be tasked with outlining capital requirements, liquidity standards, and reserve asset diversification standards for stablecoin issuers, Hill added.<\/p>\n <\/p>\n To guide this process, the FDIC is taking into account recommendations published in July by the President\u2019s Working Group on Digital Asset Markets. The group had advised regulators to clarify or expand permissible activities in which banks may engage, including the tokenization of assets and liabilities.<\/p>\n \u201cWe are also currently developing guidance to provide additional clarity with respect to the regulatory status of tokenized deposits,\u201d Hill said.<\/p>\n The House hearing on Tuesday will also include testimony from other financial regulatory authorities, including Federal Reserve Vice Chair for Supervision Michelle Bowman. Bowman noted<\/a> that the central bank is currently working with other banking regulators to develop capital, liquidity, and diversification standards for stablecoin issuers as required under the GENIUS Act.<\/p>\n \u201cWe also need to provide clarity in treatment on digital assets to ensure that the banking system is well placed to support digital asset activities. I think this includes clarity on the permissibility of activities, but also a willingness to provide regulatory feedback on proposed new use cases,\u201d Bowman said.<\/p>\n After the initial proposal is released, the FDIC will seek and review public comments before finalizing the rule, a process that typically takes several months. Other agencies, such as the Treasury Department, have already advanced their own rulemaking processes under the GENIUS Act, including public consultations<\/a> that concluded in November.<\/p>\n <\/p><\/div>\n","protected":false},"excerpt":{"rendered":" US Federal Deposit Insurance Corporation Chairman Travis Hill has confirmed that his agency will propose a new application framework for stablecoin issuers later this month. Summary The FDIC will propose…<\/p>\n","protected":false},"author":1,"featured_media":17046,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-17086","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/17086","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=17086"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/17086\/revisions"}],"predecessor-version":[{"id":17087,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/17086\/revisions\/17087"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/17046"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=17086"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=17086"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=17086"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}FDIC to oversee bank-issued stablecoins<\/h1>\n
Federal Reserve is working on stablecoin rules<\/h2>\n