Treasury Opens New Comment Window for Stablecoin Law
The US Department of the Treasury has initiated a second period for public comment on the implementation of the GENIUS Act, a major piece of legislation aimed at regulating stablecoin payments in the United States. This move builds on earlier efforts to gather feedback from market participants and other stakeholders.
GENIUS Act Process Extends Public Engagement
The Treasury issued a notice on Thursday opening a 31-day window for additional comments. While not required as part of the official rulemaking process, the Treasury stated that collecting public views would help inform its work on the new law. The department previously opened comment submissions in August, setting a deadline of October 17 to receive concerns, particularly related to potential illicit activity.
- Treasury highlights the importance of diverse stakeholder input.
- Feedback period aims to address issues such as compliance and enforcement.
Legislative Background and Timeline
The GENIUS Act was signed into law by President Donald Trump in July, following its passage in the House as one of several cryptocurrency-focused bills introduced during "Crypto Week." The law seeks to establish clear guidelines for the use of payment stablecoins in the US financial system. It will go into effect either 18 months after signing or 120 days after final regulations from the Treasury and the Federal Reserve, placing likely implementation in late 2026 at the earliest.
Senate Considers Additional Crypto Legislation
In parallel legislative developments, the US Senate is preparing to vote on a digital asset market structure framework. This initiative, led in part by Wyoming Senator Cynthia Lummis, aims to define the oversight responsibilities of federal agencies for cryptocurrencies. Lawmakers have sought input from industry executives in recent roundtable discussions covering both market structure and proposals to permit financial institutions to hold Bitcoin as reserves. The Senate Banking Committee is expected to vote on this framework by the end of September, with potential passage timeline aligning with that of the GENIUS Act.
The GENIUS Act and related proposed legislation mark an increasing regulatory focus on the digital asset sector in the United States. Ongoing public input will likely shape how these laws are enforced and the future regulatory landscape for stablecoins and other digital assets.
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