Overview
- The OCC published its final implementing rule on Wednesday, October 21, 2026, and the regulation takes effect on January 18, 2027 when the GENIUS Act becomes operational.
- The rule sets concrete prudential requirements for permitted payment stablecoin issuers, including one-to-one reserve backing, daily liquidity standards, custody controls, redemption procedures, routine reporting and a minimum $5 million capital floor plus a 12-month operational backstop.
- The OCC removed its earlier proposal of ‘rebuttable presumptions’ for third-party rewards and will instead review existing and future exchange reward programs case by case, offering no automatic safe harbor for programs that predate the law.
- Anti-money-laundering, Bank Secrecy Act and OFAC sanctions rules were not included and remain in separate Treasury‑led rulemakings, and the OCC will not begin accepting applications until OMB clears its information collections.
- Industry groups and banks have pushed conflicting fixes — trade groups seek narrower definitions and holder protections while banking groups warn rewards could drain deposits — so the near-term priorities are waiver applications, OMB signoffs and how other agencies align their rules.