S 1582 changesGENIUS Act

What changed

+8853 / −7793 words · LargeConfidence: high

This revision fundamentally narrows the bill's scope by removing the entire framework for state-regulated stablecoin issuers and substantially scaling back federal oversight mechanisms. The changes eliminate definitions and pathways for state-qualified payment stablecoin issuers, Federal qualified issuers, and subsidiaries of depository institutions to issue stablecoins, effectively consolidating what appears to have been a dual state-federal regulatory system into a more limited structure. The bill also removes extensive enforcement provisions including annual AML/sanctions certification requirements, foreign issuer compliance mechanisms, marketing prohibitions with $500,000 penalties, and the authority for regulators to remove non-compliant personnel. Additionally eliminated are safe harbor provisions for self-custody wallets and peer-to-peer transfers, transition provisions for large state-supervised issuers with over $10 billion in outstanding issuance, state certification requirements and associated federal publication obligations, insolvency proceeding frameworks, reporting requirements, and research mandates for FinCEN to issue guidance within two years. The deletions also remove several digital asset activity definitions including custodian services, distributed ledger validation, and node operation.

Change log

• SECTION 16 > (3)

  removedhigh confidence

  Definition of 'State credit union supervisor' removed

  The bill removes the definition of 'State credit union supervisor,' which previously referred to the meaning given in section 6003 of the Anti-Money Laundering Act of 2020. This definition is no longer included in this section of the legislation.

• SECTION 15 > (1)

  removedhigh confidence

  Requirement for summary of payment stablecoin trends removed

  This provision previously required a summary of trends in payment stablecoin activities. The entire requirement has been deleted from the bill.

• SECTION 8 > (a)

  removedhigh confidence

  Section 8(a) on foreign payment stablecoin issuers removed entirely

  The entire subsection (a) addressing payment stablecoins issued by foreign payment stablecoin issuers has been deleted from Section 8. No text remains in this subsection, indicating a complete removal of whatever provisions previously governed foreign issuers.

• SECTION 8 > (c)

  removedhigh confidence

  Technical/conforming change

  A subsection header titled 'WAIVER AND LICENSING AUTHORITY EXEMPTIONS' was removed. No substantive regulatory text was provided for this subsection in the source material, indicating this is likely a structural cleanup or renumbering change related to the removal of provisions elsewhere in the bill.