The U.S. Treasury Department opened a 60-day public comment period Monday on proposed rules for the GENIUS Act, the federal stablecoin law due to take effect January 18, 2027. Treasury and other regulators missed a July deadline to finalize those rules, meaning the law could go live without complete guidance.
The U.S. Department of the Treasury issued a notice of proposed rulemaking Monday covering how it will implement Section 3 of the Guiding and Establishing National Innovation for U.S. Stablecoins Act. Public comment stays open for 60 days after the rule publishes in the Federal Register.
Treasury Secretary Scott Bessent said the department welcomes stakeholder input as it works through implementation. According to The Block: "Treasury is moving quickly to implement that framework".
Regulators missed the July deadline
The GENIUS Act was scheduled to take effect 120 days after agencies finalize rules, or 18 months after its July 2025 passage — placing the effective date at Jan. 18, 2027. The Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation and the Federal Reserve Board have also issued proposed rules on GENIUS this year. However, all departments reportedly missed the 120-day deadline in July to finalize regulations, raising the chance the law takes effect without finished guidance.
Licensing rules tighten through 2028
Once GENIUS takes effect, an entity generally may not issue a payment stablecoin in the U.S. without a federal or state license. Then, beginning July 18, 2028, digital asset service providers generally won't be allowed to offer or sell payment stablecoins to U.S. persons unless the tokens come from a licensed issuer. Treasury's proposed rules aim to clarify when a stablecoin counts as "issued" in the U.S. and when a foreign issuer's compliance representations satisfy due-diligence obligations.
UK regulators watch the timeline
In July, the UK-US Financial Regulatory Working Group met in London to discuss cooperation on GENIUS implementation between the two countries' financial agencies. Some crypto industry insiders argue the U.K. risks falling behind the U.S. despite steps British authorities have already taken on stablecoin rules.
Sources: Cointelegraph.com News, The Block, Bitcoin Magazine
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