The US Treasury Department has initiated the regulatory process by taking the first official steps under the recently enacted stablecoin regulation GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins Act).
The Department, part of President Donald Trump's administration, today opened an early phase of the proposed rule change process called “advance notice.” This phase is intended to gather input from the public and industry representatives to form the basis for any future formal regulatory proposal.
As part of a one-month feedback period, the public and cryptocurrency companies will have until October 20th to submit their opinions. The Treasury's document addresses dozens of critical questions. Among these are: “Is there a need for additional clarity regarding the extent to which reserve assets should be held?” and “Are foreign payment stablecoin regulations or regimes currently under development comparable to the system established by the GENIUS Act?”
The GENIUS Act, signed into law last month, is considered a historic milestone for the crypto industry in the US. While this legislation is the first comprehensive regulation the industry has long awaited, attention is now turning to the Digital Asset Market Clarity Act, which would provide a broader framework. The bill, which has received bipartisan support in the Senate, is also being harmonized with the House of Representatives, which previously passed a similar version.
Republicans and federal financial regulators are aiming to quickly implement friendly regulations that would make the United States the global crypto hub, under President Trump's orders.
*This is not investment advice.
