The proposal states that the Treasury considers the Act to indicate a clear intent for payment stablecoins to function as an effective means of payment and settlement, including across borders, and that applying traditional investment rules to such stablecoins could undermine this objective.
The Monday action follows the Treasury’s advance notice issued in September of the previous year, which was scheduled on an accelerated timeline. The public and stablecoin issuers now have a 60‑day window to submit comments, after which the department will conduct a multi‑month review before finalizing the rule.
The rule raises numerous questions regarding the optimal interpretation of the legislation, each requiring resolution before final approval. Industry participants will focus particularly on the treatment of foreign issuers, such as market leader Tether. The agency has set a mid‑October deadline for comment submissions.
The one‑year deadline for implementing the regulations expired last month, and the administration has yet to meet it. The next milestone is the law’s effective date, slated for January 18. It is unlikely that all rules will be finalized by then, as new regulations typically provide transition periods for industry compliance.
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