Fed Opens 60-Day Comment Period On GENIUS Act Stablecoin Rules Due October 19

The Federal Reserve opened a 60-day public comment period on stablecoin regulations, according to a notice published in the Federal Register. The proposal, issued under the GENIUS Act, establishes a federal framework for payment stablecoin issuance, offer, and sale, with comments due on or before October 19, 2026.

The notice, published August 18, 2026, directs commenters to submit written responses through the Federal eRulemaking Portal. The Fed's action follows parallel rulemaking by the Office of the Comptroller of the Currency, which set its own comment deadline of July 24, 2026 for anti-money laundering provisions covering permitted payment stablecoin issuers.

The comment period represents the latest step in a regulatory sprint that began after Congress passed the Guiding and Establishing National Innovation for U.S. Stablecoins Act. The statute assigns primary rulemaking authority to the Federal Reserve, the OCC, and other federal banking regulators, each of which must publish implementing rules before the law's effective date.

Fed Seeks Public Input On Stablecoin Framework Until March 2026

The Federal Reserve's proposal asks the public to weigh in on how payment stablecoin issuers should be supervised, capitalized, and held to reserve standards. The Board published the proposed rule in the Federal Register on August 18, 2026, triggering a 60-day window that closes October 19, 2026.

The Fed's notice is not the only comment period currently open. The OCC's proposed rule on anti-money laundering requirements for permitted payment stablecoin issuers set a July 24, 2026 deadline. A separate Federal Register notice dated July 27, 2026 extended an initial comment period that had been scheduled to end June 29, 2026, moving the new deadline to September 25, 2026.

The Treasury Department detailed the scope of stablecoin regulation in an August 17, 2026 release that opened its own 60-day comment period. The Treasury's proposal covers payment stablecoins and their issuance, offer, and sale under the GENIUS Act.

The Fed's framework arrives as practitioners expect final or interim final rules to appear before the statutory effective date. Legal analysis from Astraea Law notes that final rules from the primary federal payment stablecoin regulators must issue by roughly September 20, 2026 for the 120-day implementation clock to land on schedule.

The Board's proposal also revises the Payment System Risk policy and Account Access Guidelines to accommodate payment stablecoin activity. A Federal Register notice dated May 26, 2026 sought comment on those revisions, with the comment period closing July 27, 2026.

Proposed Stablecoin Rules Target Issuance, Reserves, And Redemption

The Federal Reserve's proposed framework targets three core areas: who may issue payment stablecoins, how reserves must be managed, and how redemption rights function. The proposal would require full reserve backing and generally allow redemptions within two business days, according to the September 24 proposal.

The Fed's rulemaking sets capital requirements, a two-day redemption window, and new reserve disclosures as regulators implement the GENIUS Act. The proposal enforces a 100% reserve rule, a measure the Fed says would mitigate the risk of bank-run-style events that have affected poorly backed digital assets.

Reserve composition is a central question in the proposal. Issuers must back tokens 1:1 with high quality liquid reserves such as cash, insured deposits, and short-dated Treasuries. The Fed is also seeking comment on what factors should determine control over minting or burning, control over reserve assets, and redemption mechanics.

Federal Reserve Vice Chair for Supervision Michael Barr emphasized the importance of universal redemption rights in the final rule. In a September 24, 2026 statement, Barr said clear redemption rights are necessary "to support public confidence in access to" stablecoin value.

The proposal covers reserves, capital, custody, and licensing under a comprehensive federal framework for payment stablecoin issuance. The Fed's approach aligns with the GENIUS Act's requirement that only permitted payment stablecoin issuers may offer or sell stablecoins in the United States.

Stablecoin Issuers Face New Compliance Burdens Under Fed Framework

Stablecoin issuers operating in the U.S. market will face new compliance obligations if the Fed's proposal is adopted as written. The framework would require issuers to maintain full reserve backing, meet capital requirements, and process redemptions within two business days.

The Fed's proposal also introduces a customer identification program for stablecoin issuers. The program aims to combat illicit activities in the digital asset sector by requiring issuers to verify customer identities, a shift that adds operational complexity for firms that have operated with lighter compliance standards.

The OCC's parallel rulemaking establishes anti-money laundering requirements for permitted payment stablecoin issuers. Comments on that proposal were due July 24, 2026, and the OCC encouraged submission through the Federal eRulemaking Portal.

Existing stablecoin issuers face the most immediate impact. The GENIUS Act requires issuers to prove they can back tokens 1:1 with high quality liquid reserves, and the Fed's proposal would make that standard enforceable through federal supervision.

The compliance burden extends beyond reserves. Issuers must also demonstrate control over minting and burning processes, maintain custody arrangements that satisfy federal standards, and obtain licensing from the appropriate federal regulator.

The Fed's proposal drew no immediate opposition in the September 24 announcement, according to the Instagram post from the Federal Reserve. The framework remains subject to the 60-day public comment period after Federal Register publication before adoption.

Industry And Lawmakers React To Fed's Stablecoin Comment Period

The Federal Reserve's stablecoin proposal has drawn attention from industry groups and legal practitioners tracking the GENIUS Act implementation. Jones Day published an August 2026 commentary noting that the GENIUS Act is expected to be effective following the rulemaking process.

Legal analysts at Montague Law observed that public comments are due through May and June 2026 for earlier rulemaking stages, with practitioners expecting final or interim final rules before the statutory deadline. The firm's founder's guide to the GENIUS Act stablecoin framework highlights the compressed timeline facing issuers.

The George Washington University Regulatory Studies Center published analysis on the rise and regulation of payment stablecoins, noting that the GENIUS Act establishes a federal framework governing who may issue payment stablecoins and how their reserves must be managed.

The Fed's proposal follows an executive order on Federal Reserve access for fintechs. A JD Supra analysis noted the comment period for that proposal closed July 27, 2026, and referenced a March 2026 request for information from the Reserve Bank of Kansas seeking public input on related access questions.

The OCC's proposed rule sets forth implementing regulations for the GENIUS Act to establish a strict federal framework for U.S. stablecoins. Public comments on the OCC's rule are open for 60 days.

The Fed's September 24 proposal drew no immediate public opposition, according to the Federal Reserve's announcement. The proposal remains subject to the 60-day comment period before adoption, with the October 19, 2026 deadline now the next concrete milestone for issuers and industry groups preparing responses.