💰Analyzing Business Impact of the GENIUS Act Implementation
GENIUS Act Implementation
Summary
The Department of the Treasury (Treasury) is issuing this advance notice of proposed rulemaking (ANPRM) to solicit public comment on questions relating to the implementation of the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act. The GENIUS Act tasks Treasury (and various other federal agencies) with issuing regulations that encourage innovation in payment stablecoins while also providing an appropriately tailored regime to protect consumers, mitigate potential illicit finance risks, and address financial stability risks. Through this ANPRM, Treasury is seeking public comment on potential regulations that may be promulgated by Treasury, including regarding regulatory clarity, prohibitions on certain issuances and marketing, Bank Secrecy Act (BSA) anti-money laundering (AML) and sanctions obligations, the balance of state-level oversight with federal oversight, comparable foreign regulatory and supervisory regimes, and tax issues, among other things. Treasury is seeking comment on all aspects of the ANPRM from all interested parties and also requests commenters to identify other issues that Treasury should consider.
Agencies
- Treasury Department
Business Impact
$$$ - High
The GENIUS Act implementation has significant compliance and regulatory requirements for payment stablecoin issuers and digital asset service providers, affecting their operations and marketing strategies. Business owners must prepare to adapt to new regulations concerning consumer protection, anti-money laundering, and capital requirements, and any non-compliance could result in substantial fines.