United States
GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins)
OCC · FinCEN · SEC
July 18, 2025
Overview
The first comprehensive federal stablecoin framework
The GENIUS Act establishes a dual federal-state regulatory framework for payment stablecoins — the first of its kind in the U.S. Above $10B market cap, issuers must obtain a federal charter. Below $10B, they may operate under state money transmitter licenses with federal oversight.
The Act carves stablecoins out of securities classification, establishes 1:1 reserve requirements, and mandates regular attestation. It creates the most detailed compliance checkpoint architecture of any jurisdiction — from onboarding gates through settlement finality.
Key Provisions
What the GENIUS Act requires
01
1:1 Reserve Requirement
Every payment stablecoin must be backed 1:1 by permitted reserve assets: U.S. currency, insured demand deposits, Treasury bills (≤93 days), repo agreements, or government money market fund shares.
02
Securities Carve-Out
Compliant payment stablecoins are explicitly not securities, not commodities, and not investment company shares — resolving the classification uncertainty that constrained issuers since 2020.
03
Dual Regulatory Regime
A two-tier system split at the $10B market cap threshold. Federal approval required above; state regulation below with federal standards as a floor. States retain authority to impose additional requirements.
04
AML / Sanctions Compliance
Full Bank Secrecy Act compliance: KYC/KYB at onboarding, transaction monitoring, SAR filing, OFAC sanctions screening, and Travel Rule for transfers above $3,000.
Deep Dive
Full GENIUS Act analysis on StableCharter.com
Complete provisions breakdown, OCC charter paths, state license matrix, compliance timeline, and regulatory authority mapping.
Visit StableCharter.com →