Regulators Get 35 Days to Stablecoin-or-Stablecoin-Not 💸

Six U.S. federal agencies have 35 days to finalize Stablecoin rules mandated by the GENIUS Act, according to Public Law 119-27, the first major federal statute governing Stablecoin issuers. The law, formally titled the Guiding and Establishing National Innovation for U.S. Stablecoins Act, directs regulators to complete the framework on a faster timeline than typical federal rulemaking, which can run months or years. The provisions cover anti-money laundering checks, issuer licensing, and reserve requirements for "permitted payment Stablecoins," mandating that every token be backed by qualifying assets such as cash. Agencies involved in the rulemaking include the Treasury Department, the Federal Reserve, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the Securities and Exchange Commission, and the Consumer Financial Protection Bureau, which must jointly deliver the final regulations within the 35-day window.

Market participants have already begun positioning for the new framework. State Street has launched a Stablecoin-reserve money market fund, signaling institutional confidence that the rules will be completed on schedule. Industry executives have pointed to the reserve and licensing requirements as the central pillars of the statute, noting that compliance costs and audit obligations will rise once the rules are finalized. The act also establishes a federal floor for Stablecoin oversight, with state regulators permitted to participate through a coordination mechanism designed to avoid duplicative supervision.

Legal analysts describe the 35-day clock as one of the most compressed rulemaking deadlines in recent federal financial legislation, reflecting congressional intent to move quickly on digital asset policy. Under the statute, permitted payment Stablecoins must meet specific liquidity, redemption, and disclosure standards, including the right for holders to redeem tokens at par within a defined period. Regulators are also expected to address interoperability, sanctions compliance, and consumer protection within the framework. Failure to meet the deadline would not automatically delay the statute, but could push enforcement questions into subsequent guidance.

The GENIUS Act passed both chambers of Congress before being signed into law, and its signing marked the first time U.S. Stablecoin issuers face a unified federal standard rather than a patchwork of state money transmitter rules. Treasury and the Federal Reserve are expected to publish proposed rule text in the Federal Register ahead of the deadline, with public comment periods handled through expedited procedures. The agencies have not publicly commented on specific draft language, and the statute requires that the final rules take effect no later than 30 days after publication.