Treasury Proposes Stablecoin Licensing Rules Under GENIUS Act

The US Treasury Department has proposed new licensing rules for payment stablecoin issuers under Section 3 of the GENIUS Act, opening another major comment period for digital asset regulation. The proposed rulemaking was issued on August 18 and published on August 21. Under the proposal, payment stablecoin issuers would need to obtain a federal or state license starting January 18, 2027. By July 18, 2028, digital asset service providers would be prohibited from offering unlicensed stablecoins to US persons. Public comments are open until October 19, 2026. This is not active law yet. The proposal is still in the rulemaking stage, and the details could change after public feedback. TL;DR The Treasury has proposed stablecoin licensing rules under the GENIUS Act. Issuers would need a federal or state license starting January 18, 2027. Service providers would face restrictions on unlicensed stablecoins from July 18, 2028. Why Stablecoin Licensing Matters Stablecoins are now one of the most important parts of crypto markets. They are used for trading, payments, settlement, remittances, DeFi, exchange liquidity, and dollar access outside the traditional banking system. That makes them too...