Final OCC Rules Under the GENIUS Act Take Effect January 18, 2027

The Office of the Comptroller of the Currency (OCC) has completed the development of rules under the GENIUS Act, which will take effect on January 18, 2027. Existing issuers of payment stablecoins need permission to continue issuing their coins. Temporary permits can be requested for up to 12 months from the effective date of the rule; however, the OCC has not yet announced when it will begin accepting applications or requests for temporary permits.

According to the OCC, the acceptance of applications and requests for temporary permits will begin after the Office of Management and Budget (OMB) approves the relevant information collection; the start of acceptance will be announced separately. Under the final rule, backing assets, redemption processes, risk management, and reporting are key aspects subject to control. Unauthorized issuance of payment stablecoins, according to the law, entails criminal liability.

To obtain a temporary permit, an issuer must submit a substantially completed application to the OCC. A temporary permit is a separate discretionary decision, not an automatic right: in addition to the application, a written request is required, and the 12-month period is counted from January 18, 2027, not added to the date of a later decision. This measure is intended to help existing companies avoid disruptions while the OCC reviews their applications.

The first weekly reporting date is expected to be January 25, 2027, shortly after the rules come into force, subject to OMB approval. The quarterly form is expected to apply starting from the reporting date of March 31, 2027. These dates concern reporting, not promises regarding the timing of licensing decisions.

The new rules are not limited to reserves alone. The final decision materials detail requirements for reserve assets, redemption processes, risk management, and reporting: the issuer must show how the token is issued and redeemed, where qualifying reserves are held, who can manage them, and how supervisory reports will be formed. The OCC intends to regulate anti-money laundering and sanctions requirements with a separate rule in conjunction with the Treasury Department.