U.S. Treasury Proposes Two Thresholds for Stablecoins: What Changes in 2027 and 2028?

The U.S. Department of the Treasury, through an NPRM published under the GENIUS Act, has proposed clarifying the licensing timeline for the issuance and sale of payment stablecoins in the U.S.

According to Wu Blockchain, the U.S. Department of the Treasury issued a Notice of Proposed Rulemaking (NPRM) to implement the GENIUS Act’s stablecoin regulations. The text will be open for public comment to determine which issuance and sales activities the regulation will cover.

The NPRM will clarify which behaviors constitute “issuing a payment stablecoin in the U.S.” and which transactions fall under offering or selling stablecoins to “U.S. persons.” These definitions will establish the boundaries for the regulation’s application regarding domestic issuance and sales to U.S.-based individuals.

Licensing Requirement for Stablecoin Issuance in the U.S. by 2027

According to the GENIUS Act timeline, as of January 18, 2027, entities wishing to issue payment stablecoins in the U.S. will generally be required to obtain a federal or state-level license. This date will serve as the first major threshold, restricting issuers from operating without regulatory authorization.

The second phase of the regulation will begin on July 18, 2028. After this date, digital asset service providers will no longer be able to offer or sell payment stablecoins issued by unlicensed issuers to U.S. persons. The Treasury’s proposal is not yet final; the public will be able to submit comments within 60 days of the notice’s publication in the Federal Register.