Fed Proposes Two-Day Redemption Limit and Capital Buffers for the Stablecoin Issuers It Supervises
The Federal Reserve Board opened two GENIUS Act proposals for comment, covering stablecoin reserves, capital charges, redemption limits, and bank applications. Two business days. That is the longest a holder would wait for dollars from a stablecoin issuer the Federal Reserve supervises, if the new proposal survives public comment. The Board put out two proposals on Thursday, both tied to the GENIUS Act. Comments stay open for 60 days after each notice appears in the Federal Register. The rules would cover issuers that are subsidiaries of state member banks, plus uninsured state-chartered issuers with $10 billion or more in coins outstanding.Source: Federal Reserve Board press release, September 24, 2026 Discover more Crypto tax software Hire Grant Writers financing What Counts as Backing Every coin needs backing worth at least its face value, at all times. Allowed assets include dollars, balances at Federal Reserve Banks, demand deposits at insured banks and Treasury bills with 93 days or less left to run. Overnight repo and funds holding only those assets make the list too. Tokenized versions of some of them count as well, and Wall Street keeps pushing more holdings onchain, as BlackRock and Ondo showed the same day. Issuers would also have to spread the risk. Piling uninsured deposits into









