US House passes stablecoin regulatory framework

A bill providing a federal regulatory framework for stablecoin issuers is set to be signed into law.

The House of Representatives on Thursday passed the Guiding and Establishing National Innovation for U.S. Stablecoins Act, commonly known as the GENIUS Act. The Senate voted to pass the measure last month.

Under the legislation, all stablecoin issuers will be subject to monthly examination by a registered public accounting firm. Additionally, those with over $50 billion in stablecoin issuance will be subject to an annual financial statement audit under PCAOB auditing standards.

The legislation will require stablecoin issuers to report monthly on the following:

• Outstanding stablecoins: The total number of stablecoins issued and currently in circulation.
• Reserve asset disclosures: A detailed account of the amount and composition of the reserve assets backing the stablecoins.

What’s the expected timing?

The legislation requires primary federal payment stablecoin regulators, the secretary of the Treasury, and each state payment stablecoin regulator to coordinate and promulgate regulations to carry out the GENIUS Act within one year of it becoming law, after which issuers have 120 days to comply. Additionally, within 180 days of the legislation becoming law, each federal banking agency must submit a report to the Senate Banking Committee and House Financial Services Committee outlining the regulations planned to carry out the requirements.

AICPA resources

Whether you are a stablecoin issuer publishing monthly reports or a practitioner conducting examination engagements, the AICPA’s 2025 Criteria for Stablecoin Reporting serves as a comprehensive framework that supports the requirements in this new legislation.

In addition, because controls surrounding digital asset operations are an integral part of, and a foundation for, the reliability of information presented by those entities, it is vital that those controls are implemented, operated, and monitored. So, in connection with the 2025 Criteria for Stablecoin Reporting, the AICPA is seeking comment through Aug. 11 on Proposed Criteria for Controls Supporting Token Operations: Specific to Asset-Backed Fiat-Pegged Tokens.

Explore the AICPA Stablecoin Reporting and Assurance resource page for insights into the evolving stablecoin landscape and the latest AICPA initiatives.

— To comment on this article or to suggest an idea for another article, contact Bryan Strickland at Bryan.Strickland@aicpa-cima.com.