Treasury Fast-Tracks GENIUS Act Rules as Trump Team Races to Shape Stablecoin Future

The U.S. Treasury Department has opened a brief, one-month window to collect public feedback on how it will implement the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act—the nation’s first comprehensive stablecoin law. Announced Friday under President Donald Trump’s administration, the “advance notice of proposed rulemaking” is an early but pivotal step toward drafting formal regulations.

Treasury officials are seeking industry and public input on key issues including issuer restrictions, sanctions obligations, anti-money-laundering safeguards, tax treatment, and the balance between state and federal oversight. Dozens of detailed questions accompany the notice, ranging from the custody requirements for reserve assets to how U.S. rules should align with foreign stablecoin regimes. Comments must be submitted by October 20.

The move builds on last month’s informal outreach aimed at identifying methods to combat illicit crypto activity. By law, Treasury must also address sanctions compliance and cross-border interactions as it codifies the GENIUS framework.

Passed earlier this year, the GENIUS Act marked a historic milestone for U.S. crypto policy and is viewed as a blueprint for broader digital-asset legislation now under debate in the Senate and House. Lawmakers from both parties are negotiating a wider market-structure bill following the House’s passage of the Digital Asset Market Clarity Act.

Backed by a Republican push and Trump’s directive to position the United States as a crypto leader, the accelerated timeline underscores Washington’s intent to provide regulatory certainty for stablecoin issuers and investors. Meanwhile, JP Morgan cautioned Friday that for the stablecoin sector to thrive, the overall crypto market must expand—or new coins may simply cannibalize existing ones.