Overview
- The 376-page notice outlines reserve one-to-one backing, mandatory redemption at par, liquidity and risk controls, audits, custody, examinations, and application pathways for new issuers.
- The OCC asserts oversight of subsidiaries of national banks and federal savings associations, federal and state qualified issuers, and certain foreign stablecoin issuers accessing U.S. users.
- The draft bars issuer-paid yield on payment stablecoins and presumes affiliate or platform reward schemes may violate the statute, with rebuttal allowed through documented evidence.
- Carve-outs permit independent merchant discounts and profit-sharing with non‑affiliated whitelabel partners, provided no yield accrues to stablecoin holders.
- The regime could take effect no later than January 2027 or as soon as 120 days after finalization, with parallel work by other bank regulators on capital and liquidity standards for issuers.