The American Bankers Association (ABA) has formally criticized the final rules issued by the Office of the Comptroller of the Currency (OCC) regarding stablecoins. The association argues that the new framework creates a loophole for indirect yield arrangements, which it believes contradicts the legislative intent of the GENIUS Act.
The GENIUS Act, signed into law on July 18, 2025, establishes standards for reserves, redemption, risk management, and auditing. The OCC published its final rule on October 21, 2026, with an effective date of January 18, 2027. The regulation applies to national banks, federal savings associations, and specific nonbank issuers under OCC jurisdiction.
A key point of contention is the treatment of third-party rewards. While the initial proposal included a presumption against indirect yield payments, the final rule removes this provision. Instead, the OCC will evaluate such arrangements on a case-by-case basis. The ABA contends this shift undermines the distinction between stablecoins and traditional bank deposits.
ABA President Rob Nichols stated that the current rule risks impacting local lending capacity. The association intends to continue advocating for stricter oversight through future regulatory guidance and engagement with lawmakers. Meanwhile, separate anti-money laundering provisions remain under the purview of the Treasury.
