The Office of the Comptroller of the Currency (OCC) is urging community banks to explore the development of payment stablecoin capabilities. The regulator suggests that interested institutions or their subsidiaries should consider applying for status as a permitted payment stablecoin issuer.
This initiative follows the enactment of the GENIUS Act on July 18, 2025, which created a formal regulatory and licensing framework for payment stablecoins. The OCC finalized its own rules governing these issuers on Wednesday, setting specific standards for reserves, redemption, custody, and risk management.
The new supervisory framework applies to bank subsidiaries, federally approved nonbank issuers, and other providers, with an effective date of Jan. 18. The OCC will also review existing cryptocurrency platform reward programs on a case-by-case basis, as they are not automatically compliant with the new regulations.
Comptroller of the Currency Jonathan V. Gould stated that the framework aims to support financial innovation and maintain dollar dominance. The move is part of the broader Community Bank Comeback initiative, which seeks to adjust regulatory oversight to help community banks compete and grow.
