US federal regulators propose new anti–illicit finance requirements for certain payment stablecoin issuers, including customer identification program (CIP) obligations comparable to those applied to banks and credit unions. Multiple outlets report that the proposal would require stablecoin issuers covered by the rule to maintain an effective program designed to identify customers, aligning the oversight approach with requirements under the Bank Secrecy Act framework. The Federal Reserve is reported to be leading the rulemaking effort, while the PYMNTS source states that five federal agencies are involved in seeking public comment. Bloomberg and The Block describe the Fed’s proposal as targeting payment stablecoin issuers and focusing on strengthening identification practices to help curb illicit activity. Cointelegraph similarly characterizes the concept as bringing stablecoin issuers closer to regulated financial institutions through CIP-style compliance. The articles collectively note that the proposal is at the public-comment stage, meaning issuers and other stakeholders can respond before any final rules are adopted.
US agencies propose customer identification rules for certain payment stablecoin issuers
US federal regulators propose new anti–illicit finance requirements for certain payment stablecoin issuers, including customer identification program (CIP) obligations comparable to those applied to b...
- US federal agencies propose requiring certain payment stablecoin issuers to maintain a customer identification program (CIP).
- The CIP is intended to identify customers and support efforts to prevent illicit finance.
- Regulators describe the requirements as comparable to CIP requirements used for banks and credit unions.
- The proposal is linked to obligations under the Bank Secrecy Act framework.
- The rulemaking is open for public comment before any final implementation.
The proposed rules by US government agencies suggested that stablecoin issuers be subject to customer identification program requirements under the Bank Secrecy Act, the same as regulated financial firms.
2 months agoFive federal agencies are seeking public comment on a proposal to require certain payment stablecoin issuers to maintain a customer identification program. “The proposal would introduce requirements for these stablecoin issuers that are comparable to customer identification program requirements for banks and credit unions,” the Federal Reserve Board said in a Thursday (June 18) […] The post Federal Agencies Propose Identity Verification Rule for Stablecoin Issuers appeared first on PYMNTS.com.
2 months agoThe Fed rolled out a rule requiring stablecoin issuers to have a program in place to identify customers to combat illicit finance.
2 months agoThe Federal Reserve proposed requiring payment stablecoin issuers to maintain an effective customer identification program designed to curb illicit activities, the latest step from US regulators embracing digital assets.
2 months ago
US sanctions four Indian firms over alleged Iran petroleum trade under Operation Economic Outcast
The United States imposes sanctions on four India-based companies, accusing them of facilitating trade linked to Iranian...
Ottawa to announce details of retaliatory tariffs against the U.S.
Canada’s federal government is set to announce details of retaliatory tariffs against the United States on Tuesday. Mult...
Spire Global renews and expands €4M contract with EUMETSAT
Spire Global secures a renewed contract with the European Organisation for the Exploitation of Meteorological Satellites...