GENIUS Act

Ed. Note: if you’re new to TURBOFAC, please take note that the text string filtration function generally shouldn’t be used for terms such as “ordinarily resident,” “causing” or “new debt”. For research on the meaning of words and phrases such as those, i.e. terms central to the key legal issues in sanctions law that appear on a cross-programmatic basis, you’re typically better off locating and checking the appropriate box in the “Key Legal Issues” search category, which will limit the results to those that have been manually assessed as being relevant for the interpretation of the terms at issue.

Try typing your search term (“ordinarily resident,” “new debt,” or something else) in the “Find a Search Filter” box at the top of the page, and the corresponding “Key Legal Issues” check box will pop up instantly, if one exists. Once you check the box (e.g. “new debt,” with ~55 results), you can always use the text string filtration function to further refine your search (e.g. by typing “invoice” and narrowing the ~55 results to ~10).

Note in addition that the same applies to text string searches such as “14071” (if you’re looking for items related to EO 14071). By typing “14071” in the “Find a Search Filter” field up top, you will be able to instantly narrow the results down to items manually assessed as relating to EO 14071. Ditto terms such as “515.204” or “Iran General License G” (try the “Discrete Legal Provision” search category). Please contact [email protected] or [email protected] with any questions on search results and efficiency.

Please click "Apply Text String Filters" again after clicking the "Close" button immediately below.

Back

GENIUS Act

Date issued: Jul. 18 2025

Plain text (497 words)
Native PDF
External link

An Act

To provide for the regulation of payment stablecoins, and for other purposes.

[…]

SECTION 1. SHORT TITLE.

This Act may be cited as the “Guiding and Establishing National Innovation for U.S. Stablecoins Act” or the “GENIUS Act”.

[...]

SEC. 4. REQUIREMENTS FOR ISSUING PAYMENT STABLECOINS.

(a) Standards for the Issuance of Payment Stablecoins.—

[…]

(4) Capital, liquidity, and risk management requirements.—(A) In general.—The primary Federal payment stablecoin regulators shall, or in the case of a State qualified payment stablecoin issuer, the State payment stablecoin regulator shall, consistent with section 13, issue regulations implementing—

[…]

(iv) appropriate operational, compliance, and information technology risk management principles-based requirements and standards, including Bank Secrecy Act and sanctions compliance standards, that—(I) are tailored to the business model and risk profile of permitted payment stablecoin issuers; and(II) are consistent with applicable law.

[…]

(5) Treatment under the bank secrecy act and sanctions laws.—
(A) In general.—A permitted payment stablecoin issuer shall be treated as a financial institution for purposes of the Bank Secrecy Act, and as such, shall be subject to all Federal laws applicable to a financial institution located in the United States relating to economic sanctions, prevention of money laundering, customer identification, and due diligence, including—
[...]
(iv) maintenance of an effective economic sanctions compliance program, including verification of sanctions lists, consistent with Federal law.
[…]

SEC 5. APPROVAL OF SUBSIDIARIES OF INSURED DEPOSITORY INSTITUTIONS AND FEDERAL QUALIFIED PAYMENT STABLECOIN ISSUERS.

[…]

(i) Certification Required.—(1) In general.—Not later than 180 days after the approval of an application, and on an annual basis thereafter, each permitted payment stablecoin issuer shall submit to its primary Federal payment stablecoin regulator, or in the case of a State qualified payment stablecoin issuer its State payments tablecoin regulator, a certification that the issuer has implemented anti-money laundering and economic sanctions compliance programs that are reasonably designed to prevent the permitted payment stablecoin issuer from facilitating money laundering, in particular, facilitating money laundering for cartels and organizations designated as foreign terrorist organizations under section 219 of the Immigration and Nationality Act (8 U.S.C. 1189) and the financing of terrorist activities, consistent with the requirements of this Act.

[…]

SEC. 6. SUPERVISION AND ENFORCEMENT WITH RESPECT TO FEDERAL QUALIFIED PAYMENT STABLECOIN ISSUERS AND SUBSIDIARIES OF INSURED DEPOSITORY INSTITUTIONS.

(a) Supervision.—
[…]
(2) Submission of reports.—Each permitted payment stablecoin issuer described in paragraph (1) shall, upon request, submit to the appropriate primary Federal payment stablecoin regulator a report on—
[…]
(D) the compliance of the Federal qualified nonbank payment stablecoin issuer with the requirements of the Bank Secrecy Act and with laws authorizing the imposition of sanctions and implemented by the Secretary of the Treasury.
[…]

SEC. 13. RULEMAKING.

(a) IN GENERAL.—Not later than 1 year after the date of enactment of this Act, each primary Federal payment stablecoin regulator, the Secretary of the Treasury, and each State payment stablecoin regulator shall promulgate regulations to carry out this Act through appropriate notice and comment rulemaking.
[...]

External link location:
https://www.congress.gov/119/plaws/publ27/PLAW-119publ27.pdf

TURBOFAC Commentary (26 words)

Notes:

1) See comments to Permitted Payment Stablecoin Issuer Anti-Money Laundering/Countering the Financing of Terrorism Program and Sanctions Compliance Program Requirements (Joint Proposed Rule).

html,body,div,span,applet,object,iframe,h1,h2,h3,h4,h5,h6,p,blockquote,pre,a,abbr,acronym,address,big,cite,code,del,dfn,em,img,ins,kbd,q,s,samp,small,strike,strong,sub,sup,tt,var,b,u,i,center,dl,dt,dd,ol,ul,li,fieldset,form,label,legend,table,caption,tbody,tfoot,thead,tr,th,td,article,aside,canvas,details,embed,figure,figcaption,footer,header,hgroup,menu,nav,output,ruby,section,summary,time,mark,audio,video{margin:0;padding:0;border:0;font-size:100%;font:inherit;vertical-align:baseline}article,aside,details,figcaption,figure,footer,header,hgroup,menu,nav,section{display:block}body{line-height:1}ol,ul{list-style:none}blockquote,q{quotes:none}blockquote:before,blockquote:after,q:before,q:after{content:'';content:none}table{border-collapse:collapse;border-spacing:0}body{font:normal normal .8125em/1.4 Arial,Sans-Serif;background-color:white;color:#333}strong,b{font-weight:bold}cite,em,i{font-style:italic}a{text-decoration:none}a:hover{text-decoration:underline}a img{border:none}abbr,acronym{border-bottom:1px dotted;cursor:help}sup,sub{vertical-align:baseline;position:relative;top:-.4em;font-size:86%}sub{top:.4em}small{font-size:86%}kbd{font-size:80%;border:1px solid #999;padding:2px 5px;border-bottom-width:2px;border-radius:3px}mark{background-color:#ffce00;color:black}p,blockquote,pre,table,figure,hr,form,ol,ul,dl{margin:1.5em 0}hr{height:1px;border:none;background-color:#666}h1,h2,h3,h4,h5,h6{font-weight:bold;line-height:normal;margin:1.5em 0 0}h1{font-size:200%}h2{font-size:180%}h3{font-size:160%}h4{font-size:140%}h5{font-size:120%}h6{font-size:100%}ol,ul,dl{margin-left:3em}ol{list-style:decimal outside}ul{list-style:disc outside}li{margin:.5em 0}dt{font-weight:bold}dd{margin:0 0 .5em 2em}input,button,select,textarea{font:inherit;font-size:100%;line-height:normal;vertical-align:baseline}textarea{display:block;-webkit-box-sizing:border-box;-moz-box-sizing:border-box;box-sizing:border-box}pre,code{font-family:"Courier New",Courier,Monospace;color:inherit}pre{white-space:pre;word-wrap:normal;overflow:auto}blockquote{margin-left:2em;margin-right:2em;border-left:4px solid #ccc;padding-left:1em;font-style:italic}table[border="1"] th,table[border="1"] td,table[border="1"] caption{border:1px solid;padding:.5em 1em;text-align:left;vertical-align:top}th{font-weight:bold}table[border="1"] caption{border:none;font-style:italic}.no-print{display:none}