The board of the Federal Deposit Insurance Corporation (FDIC) approved a notice of proposed rulemaking related to the Bank Secrecy Act (BSA).
Specifically, the proposed rule would implement Bank Secrecy Act (BSA) and sanctions compliance standards applicable to FDIC-supervised permitted payment stablecoin issuers (PPSIs) as required by the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act).
The proposed rule would require FDIC-supervised PPSIs to comply with applicable regulations regarding anti-money laundering/countering the financing of terrorism (AML/CFT) and economic sanctions programs, and reporting requirements. The reporting requirements would include those established by the Department of Treasury’s Financial Crimes Enforcement Network (FinCEN) and the Office of Foreign Assets Control.
Further, the proposed rule would also establish and align supervision and enforcement provisions for PPSI AML/CFT programs with FinCEN requirements.
The FDIC is accepting comments on the proposed rule for 60 days after the notice is published in the Federal Register. Comments can be submitted through the FDIC website or via email at Comments@fdic.gov.
The FDIC is the primary Federal regulator of PPSIs that are subsidiaries of insured state nonmember banks and state savings associations approved by the FDIC to issue payment stablecoins. This authority was authorized by the passage of the GENIUS Act.