US regulators release draft implementation rules for the "GENIUS Act," requiring stablecoin issuers to enforce customer identification rules

Odaily reports that the U.S. Federal Reserve, the Treasury Department, and other financial regulatory agencies have jointly released the draft implementation rules for the "GENIUS Act," requiring stablecoin issuers to comply with the Bank Secrecy Act (BSA) and implement Customer Identification Programs (CIP).

According to the draft rules, stablecoin issuers must verify user identities, maintain records of identity information including names and addresses, and screen against terrorist and sanctions lists. The relevant rules are now in a 60-day public comment period and will be formally implemented after the final rules are issued.

Additionally, Federal Reserve Board Governor Michael Barr expressed reservations about the framework, believing it is insufficient in addressing illicit finance risks in secondary market transactions. The proposal specifically seeks comments on whether customer identification requirements should be further extended to secondary market transactions. (CoinDesk)