The U.S. Department of the Treasury has initiated a request for comments on stablecoins. The initiative is mandated under the GENIUS Act, which was recently signed into law.
The GENIUS Act outlines the process to establish regulations for payment stablecoins. The regulatory framework will provide a federal path for issuers to provide digital dollars to consumers and businesses. It is widely believed that dollar-based stablecoins will help to solidify further the US dollar’s position as the preferred reserve currency.
The announcement states:
“Innovative tools are critical to advancing efforts to address illicit finance risks, but can also present new resource burdens for financial institutions. As required by the GENIUS Act, Treasury will use public comments to inform research on the effectiveness, costs, privacy, and cybersecurity risks, and other considerations related to these tools.”
The feedback expects interested parties to comment on techniques and methods, as well as ways to mitigate potential illicit activities. Currently, dollar-based transfers are monitored with flags raised for transfers of $10,000 or greater.
Interested parties should submit comments within 60 days of publication in the Federal Register. The deadline for comments is October 17, 2025.
