BroadChain has learned that on April 8, Bloomberg reported FDIC Chairman Travis Hill announced a proposed draft guidance for banks and their fintech partners issuing stablecoins. The guidance would cover areas such as reserve assets, redemption mechanisms, permissible activities, and capital requirements, and will be opened for public comment.
This proposal is part of a series of complementary rulemakings being advanced by the FDIC, the OCC, and the Federal Reserve following the passage of the GENIUS Act. It aims to clarify that tokenized deposits are still classified as deposits, while also soliciting market feedback on critical issues including yield distribution, capital constraints, and insurance arrangements.