The US Federal Deposit Insurance Corporation has formally introduced its approach to regulating stablecoin issuers, as required by the Guiding and Establishing National Innovation for US Stablecoins Act. The proposal, which aligns with the Office of the Comptroller of the Currency's February proposal, will be open to public comment for 60 days.
The FDIC's role is to regulate US depository institutions that issue stablecoins from their subsidiaries, and it has posed capital, liquidity, and custody standards for these firms. The proposal clarifies that stablecoins will not be eligible for deposit insurance, and issuers will not be able to offer interest or yield simply for holding or using a payment stablecoin. The FDIC has also suggested that issuers will need to maintain capital to manage business risk, as well as an operational backstop.
While regulators work to implement the GENIUS Act, some details may be subject to change due to the ongoing debate over the Digital Asset Market Clarity Act in the Senate.