- The US Treasury filed a 77-page notice of proposed rulemaking on 17 August, published 18 August, creating a new 12 CFR Part 1523 to implement section 3 of the GENIUS Act.
- Comments are due 60 days after publication, and the document puts 87 numbered questions to the industry.
- From the Act’s expected effective date of 18 January 2027, a foreign stablecoin issuer must clear a three-part test before US platforms can offer its token.
The US Treasury has proposed the first regulations under the GENIUS Act, a 77-page rule setting who may issue, offer and sell payment stablecoins in the United States, and opened a fresh comment period on it.
The notice of proposed rulemaking was filed for public inspection on 17 August and published a day later under docket TREAS-DO-2026-0496.
It would create a new part 1523 of title 12 of the Code of Federal Regulations, implementing section 3 of the Act, the provision deciding who may put a payment stablecoin in front of an American. Comments are due 60 days after publication, and Treasury has attached 87 numbered questions to the text.
Read more: Trump, Truth Social Sued Over $100K Fast-Track Access
Three Separate Deadlines
The Act was enacted on 18 July 2025, and its effective date is expected to be 18 January 2027. A separate provision, barring digital asset service providers from offering a payment stablecoin to a US person unless a permitted issuer minted it, does not apply until 18 July 2028.
Foreign issuers face the earlier deadline; as of the effective date, a platform may not offer, sell or make available a foreign-issued payment stablecoin in the US unless the issuer can technologically comply with lawful orders. The Treasury Secretary has determined its home regulator’s regime is comparable to the US one, and it is registered with the Office of the Comptroller of the Currency.
Section 3, the Act states, “is intended to have extraterritorial effect if conduct involves the offer or sale of a payment stablecoin to a person located in the United States.” Under the Act, issuing without permission carries a fine of up to US$1 million (AU$1.4 million) for each violation, up to five years in prison, or both.
Read also: Hyperion DeFi Triples Profits to US$31M, Defies DAT Sector Slump
What Counts as an Offer
Treasury’s proposed section 1523.3 treats advising potential purchasers on how to evade location detection or restriction mechanisms as an activity constituting an offer or sale.
The proposal also makes clear a stablecoin issuer can itself be a digital asset service provider, so both sets of obligations can apply at once. A further section sets out exemptions and safe harbours, and the Treasury asks whether more are needed.
The US Treasury is one of several agencies writing rules under the law. The FDIC opened its own 60-day comment period on how supervised banks would apply to issue stablecoins through subsidiaries, with a 120-day review window under Acting Chairman Travis Hill.
President Donald Trump signed the Act on 18 July 2025, when the stablecoin market was worth about US$250 billion (AU$350 billion).
Read more: Reporter Poses as VC to Expose Suspected North Korean Crypto Operatives
GENIUS Act,Stablecoins,United States#Treasury #Opens #Comment #Period #GENIUS #Act #Stablecoin #Rules1787038214
