According to ChainCatcher, The Block reported that the Federal Deposit Insurance Corporation (FDIC) is advancing the implementation of parts of the stablecoin legislation passed into law this summer.
On Tuesday, the FDIC Board approved a proposed rulemaking notice that establishes an application process for institutions to issue payment stablecoins through subsidiaries. The agency is soliciting public comments on this proposed rule. At the board meeting, FDIC legal advisor Nicholas Simons stated that applications must clearly outline the scope of activities to be conducted, provide a description of the 'ownership and control structure of the subsidiary,' and include a 'letter of engagement with a registered public accounting firm.' Simons said, 'In summary, the proposed rule will enable the FDIC to assess the safety and soundness of proposed payment stablecoin activities while minimizing the regulatory burden on applicants.'
This summer, U.S. President Trump signed the (GENIUS Act), creating a federal regulatory framework for stablecoins. Earlier this month, FDIC Acting Chairman Travis Hill informed lawmakers that the agency plans to release the implementation framework for the (GENIUS Act) in the coming weeks. On Tuesday, he also stated that the agency plans to issue a proposed rule in the coming months to establish capital, liquidity, and risk management requirements for approved subsidiary stablecoin issuers.