The US Office of the Comptroller of the Currency (OCC) has finalized regulations governing payment stablecoin issuance and custody. These rules, which implement the GENIUS Act, are scheduled to take effect in mid-January. The framework establishes specific requirements for reserve backing and redemption processes for entities under the agency's jurisdiction.
Under the new mandate, issuers are required to maintain reserves equal to the total value of their outstanding stablecoins. Furthermore, redemption requests must generally be fulfilled within two business days. The rules apply to national banks, federal savings associations, federal branches, and their subsidiaries, as well as nonbank firms seeking federal qualified issuer status.
The OCC has maintained a prohibition on issuers providing interest or yield to holders for the mere act of retaining stablecoins. While the agency removed a proposed presumption regarding affiliate arrangements, it retains the authority to enforce the yield ban. The OCC will provide separate guidance on application processing and anti-money-laundering requirements.
