FDIC Approves Rule for Banks Issuing Stablecoins

The FDIC approved a proposed rule on December 17 to establish an application process for banks to issue stablecoins through subsidiaries, beginning a 60-day public comment period.

This rule, initiated under the GENIUS Act, represents a pivotal step in U.S. regulatory framework for bank-issued stablecoins, potentially influencing future digital asset management and financial stability.

FDIC Approves Rule; Banks Can Issue Stablecoins Via Subsidiaries

The Federal Deposit Insurance Corporation (FDIC) has officially approved a rule to establish an application process for banks to issue stablecoins. This is part of the GENIUS Act, implementing the first federal framework for such financial instruments.

This rule represents the first action following the GENIUS Act’s passage in 2025, marking a notable shift in how banks can integrate digital currency issuance. The application process is aimed specifically at FDIC-supervised institutions.

There are no public statements from FDIC leaders, with the official announcement focusing purely on procedural elements. The financial community awaits insights into how this regulatory shift will shape the broader cryptocurrency ecosystem.

GENIUS Act: A New Era for U.S. Financial Innovation

Did you know? The GENIUS Act, signed into law in 2025, represents the first federal regulatory framework for bank-issued stablecoins, setting a precedent for future financial innovation in the U.S.

According to CoinMarketCap, Ethereum is currently valued at $2,945.89 with a market cap of $355.55 billion, reflecting a 1.19% price decrease over the past 24 hours. The 90-day period shows a significant decline of 34.34%. Trading volume registers at $26.87 billion.

Insights from the Coincu research team suggest the GENIUS Act’s approval will likely prompt significant regulatory review and investment in stablecoin technology. “The focus may shift towards developing secure, compliance-based solutions within the banking sector.”