OCC Finalizes Rule Implementing the GENIUS Act for Stablecoins
The new rule imposes AML, reserve, and prudential requirements on stablecoin issuers.
The Office of the Comptroller of the Currency (OCC) issued a final rule on October 21, 2026 that implements the 2023 Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act). The rule codifies the Act’s mandates, imposing stringent AML/KYC protocols, deposit‑reserve ratios, and prudential standards that mirror traditional bank regulations for entities issuing or holding stablecoins. Stablecoin issuers and holding companies must now maintain specified reserve levels and submit regular prudential reports, while the OCC gains expanded supervisory authority, including command over market‑making and distribution functions. Implementing the rule will require major legal teams to revamp compliance frameworks, update client licensing routes, and adjust governance structures. Firms advising banks, fintechs, and crypto exchanges should review the duty to certify reserves, the obligation to segregate client assets, and the potential for OCC‑initiated enforcement or remedial audits. Key next steps include monitoring any appellate challenges, forthcoming guidance on technical implementation, and possible congressional amendments that could further broaden the regulatory footprint.