The U.S. Department of the Treasury is again soliciting feedback from the public as it moves forward with implementing the recently enacted Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, a law focused on stablecoin regulation.
On Thursday, September 18th, Treasury published an advance notice of proposed rulemaking (ANPRM) concerning the execution of the GENIUS Act.
This ANPRM expands upon a prior request for public comment, issued on August 18th. That earlier request centered on methods for identifying and preventing illegal activities involving digital currencies, as stated by the Treasury in a press release on Thursday.
The Treasury’s press release highlights that the ANPRM released on Thursday is designed to allow broad public input into the GENIUS Act’s implementation, inviting comments from diverse stakeholders.
According to the release, “The GENIUS Act charges the Treasury with creating rules that foster innovation in the realm of payment stablecoins, while also establishing an appropriately calibrated system to safeguard consumers, reduce potential risks related to illicit finance, and address threats to financial stability.” It further states, “This ANPRM seeks public input, including data and other information, that Treasury can utilize in its considerations.”
When the initial request for comment was announced on August 18th via a press release, the Treasury indicated its interest in receiving input on how to detect illegal activities involving digital assets, while simultaneously supporting responsible growth and adoption of these assets.
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The earlier request emphasized the Treasury’s particular interest in the use of application programming interfaces (APIs), artificial intelligence (AI), digital identity verification methods, blockchain technology, and monitoring techniques.
“While innovative tools are essential for improving our capacity to tackle illicit finance risks, they may also impose additional burdens on financial institutions,” the Treasury stated in its August 18th release. “As mandated by the GENIUS Act, Treasury will utilize the public comments to conduct research on the effectiveness, costs, privacy and cybersecurity risks, and other pertinent factors associated with these technologies.”
The GENIUS Act, the nation’s first significant crypto legislation, was signed into law by President Donald Trump on July 18th.
PYMNTS reported at the time that the long-awaited legal structure might usher in a new chapter for cryptocurrency in the United States, particularly for stablecoins, which the act is specifically designed to regulate, as part of a broader regulatory push to reshape the future landscape of digital assets.