FDIC Moves Toward Clear Rules for Bank-Issued Stablecoins

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Washington is laying the groundwork for a clearer regulatory path for bank-issued stablecoins. The FDIC released a proposed framework under the GENIUS Act, detailing how insured banks could issue payment stablecoins via subsidiaries. Institutions would need to meet issuance standards, reserve backing, and redemption policies while undergoing regulatory review. If finalized, this could redefine which banks can mint digital dollars and under what conditions, potentially boosting institutional adoption.