The Federal Reserve proposed rules to set prudential standards for stablecoin issuers under its supervision, including reserve requirements, capital standards, and risk management expectations. The proposal requires full backing with short-term Treasury bills and other high-quality liquid assets, with a 2% capital charge on certain reserve assets and operational risk charges tiered by issuance size. A companion proposal establishes the application process for state member banks seeking to issue stablecoins through a subsidiary.
What you should do: Stablecoins are here to stay. If your bank is considering stablecoin issuance, this is the third federal regulator to lay out a pathway. Evaluate stablecoins like any new line of business: on the numbers and strategic fit. Comments are due 60 days after publication.
Press release: https://www.federalreserve.gov/newsevents/pressreleases/bcreg20260924a.htm