The US Federal Reserve has requested public comment on two proposals to establish a regulatory framework for supervised payment stablecoin issuers under the GENIUS Act. The first proposal would require issuers to fully back their stablecoins with reserve assets, including short-term Treasury bills and other high-quality liquid assets, while standardizing capital requirements and risk management standards. The second proposal would establish an application process for banks seeking to issue payment stablecoins, requiring them to submit business plans and financial information, along with an appeals process. The comment period will remain open for 60 days after publication in the Federal Register.
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