Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Stablecoin Transparency 
and Accountability for a Better Ledger Economy Act of 
2025’’ or the ‘‘STABLE Act of 2025’’. 
SEC. 2. DEFINITIONS. 
In this Act: 
(1) APPROPRIATE FEDERAL BANKING AGENCY.— 
The term ‘‘appropriate Federal banking agency’’ has 
the meaning given that term under section 3 of the 
Federal Deposit Insurance Act (12 U.S.C. 1813). 
(2) BANK SECRECY ACT.—The term ‘‘Bank Se-
crecy Act’’ means— 
(A) section 21 of the Federal Deposit Insur-
ance Act (12 U.S.C. 1829b); 
(B) chapter 2 of title I of Public Law 91– 
508 (12 U.S.C. 1951 et seq.); and 
(C) subchapter II of chapter 53 of title 31, 
United States Code. 
(3) BOARD.—The term ‘‘Board’’ means the 
Board of Governors of the Federal Reserve System. 
(4) COMPTROLLER.—The term ‘‘Comptroller’’ 
means the Comptroller of the Currency. 
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(5) CORPORATION.—The term ‘‘Corporation’’ 
means the Federal Deposit Insurance Corporation. 
(6) CREDIT UNION TERMS.—The terms ‘‘Federal 
credit union’’, ‘‘insured credit union’’, and ‘‘State 
credit union’’ have the meanings given those terms, 
respectively, in section 101 of the Federal Credit 
Union Act (12 U.S.C. 1752). 
(7) DIGITAL ASSET.—The term ‘‘digital asset’’ 
means any digital representation of value which is re-
corded on a cryptographically-secured distributed 
ledger. 
(8) DISTRIBUTED LEDGER.—The term ‘‘distrib-
uted ledger’’ means technology where data is shared 
across a network that creates a public digital ledger 
of verified transactions or information among net-
work participants and the data is linked using cryp-
tography to maintain the integrity of the public dig-
ital ledger and execute other functions. 
(9) FEDERAL
QUALIFIED
NONBANK
PAYMENT 
STABLECOIN
ISSUER.—The term ‘‘Federal qualified 
nonbank payment stablecoin issuer’’ means a sub-
sidiary of a nonbank entity approved by the primary 
Federal payment stablecoin regulator, pursuant to 
section 5, to issue payment stablecoins. 
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(10) INSTITUTION-AFFILIATED PARTY.—With re-
spect to a permitted payment stablecoin issuer, the 
term ‘‘institution-affiliated party’’ means any direc-
tor, officer, employee, or person in control of, or agent 
for, the permitted payment stablecoin issuer. 
(11) INSURED
DEPOSITORY
INSTITUTION.—The 
term ‘‘insured depository institution’’ means— 
(A) an insured depository institution, as 
defined in section 3 of the Federal Deposit Insur-
ance Act (12 U.S.C. 1813); and 
(B) an insured credit union. 
(12) MONETARY VALUE.—The term ‘‘monetary 
value’’— 
(A) means— 
(i) a national currency; 
(ii) a deposit (as defined in section 3 
of the Federal Deposit Insurance Act (12 
U.S.C. 1813)) that is denominated in a na-
tional currency; or 
(iii) an account (as defined in section 
101 of the Federal Credit Union Act (12 
U.S.C. 1752)); and 
(B) does not include any agricultural or 
other physical commodity (as defined in section 
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1a of the Commodity Exchange Act (7 U.S.C. 
1a)). 
(13) NATIONAL CURRENCY.—The term ‘‘national 
currency’’ means a Federal Reserve note (as the term 
is used in the first undesignated paragraph of section 
16 of the Federal Reserve Act (12 U.S.C. 411)), 
money standing to the credit of an account with a 
Federal reserve bank, money issued by a central bank, 
and money issued by an intergovernmental organiza-
tion pursuant to an agreement by one or more gov-
ernments. 
(14) NONBANK ENTITY.—The term ‘‘nonbank en-
tity’’ means a person that is not an insured deposi-
tory institution or subsidiary of an insured deposi-
tory institution. 
(15) PAYMENT
STABLECOIN.—The term ‘‘pay-
ment stablecoin’’ means a digital asset— 
(A) that is or is designed to be used as a 
means of payment or settlement; 
(B) that is denominated in a national cur-
rency; 
(C) the issuer of which— 
(i) is obligated to convert, redeem, or 
repurchase for a fixed amount of monetary 
value; or 
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(ii) represents that the digital asset 
will maintain or creates the reasonable ex-
pectation that the digital asset will main-
tain a stable value relative to the value of 
a fixed amount of monetary value; and 
(D) that is not— 
(i) a national currency; 
(ii) a security issued by— 
(I) an investment company reg-
istered under section 8(a) of the Invest-
ment Company Act of 1940 (15 U.S.C. 
80a–8(a)); or 
(II) a person that would be an in-
vestment company under the Invest-
ment Company Act of 1940 but for 
paragraphs (1) and (7) of section 3(c) 
of that Act (15 U.S.C. 80a-3(c)); 
(iii) a deposit (as defined under sec-
tion 3 of the Federal Deposit Insurance Act 
(12 U.S.C. 1813)), regardless of the tech-
nology used to record such deposit; or 
(iv) an account (as defined in section 
101 of the Federal Credit Union Act (12 
U.S.C. 1752)), regardless of the technology 
used to record such account. 
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(16) 
PERMITTED
PAYMENT
STABLECOIN 
ISSUER.—The term ‘‘permitted payment stablecoin 
issuer’’ means— 
(A) a subsidiary of an insured depository 
institution that has been approved to issue pay-
ment stablecoins under section 5; 
(B) a Federal qualified nonbank payment 
stablecoin issuer; or 
(C) a State qualified payment stablecoin 
issuer. 
(17) PERSON.—The term ‘‘person’’ means an in-
dividual, partnership, company, corporation, associa-
tion (incorporated or unincorporated), trust, estate, 
cooperative organization, or other entity. 
(18) PRIMARY FEDERAL PAYMENT STABLECOIN 
REGULATOR.— 
(A) IN GENERAL.—The term ‘‘primary Fed-
eral payment stablecoin regulator’’ means— 
(i) with respect to an insured deposi-
tory institution (other than an insured 
credit union) or a subsidiary of an insured 
depository institution (other than an in-
sured credit union), the appropriate Federal 
banking agency of such insured depository 
institution; 
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(21) STATE
QUALIFIED
PAYMENT
STABLECOIN 
ISSUER.—The 
term 
‘‘State 
qualified 
payment 
stablecoin issuer’’ means an entity that— 
(A) 
is 
approved 
to 
issue 
payment 
stablecoins by a State payment stablecoin regu-
lator; 
(B) issues a payment stablecoin in compli-
ance with the laws and regulations of a State 
regulatory regime certified under section 4(b); 
and 
(C) is not— 
(i) chartered by the Comptroller; 
(ii) a Federal credit union; or 
(iii) a subsidiary of a State credit 
union that— 
(I) has at least a partial owner-
ship interest or loan from a Federal 
credit union; or 
(II) has at least a partial owner-
ship interest or loan from a State cred-
it union that is organized in a dif-
ferent State than such subsidiary. 
(22) 
STATE
PAYMENT
STABLECOIN
REGU-
LATOR.—The term ‘‘State payment stablecoin regu-
lator’’ means— 
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(A) a State agency that has primary regu-
latory and supervisory authority in such State 
over entities that issue payment stablecoins; and 
(B) with respect to a State qualified pay-
ment stablecoin issuer that is a subsidiary of a 
State-chartered depository institution (as defined 
in section 3 of the Federal Deposit Insurance Act 
(12 U.S.C. 1813)) or a State credit union, the 
State agency that has primary regulatory and 
supervisory authority over entities that issue 
payment stablecoins in the State in which such 
State-chartered depository institution or State 
credit union is chartered. 
(23) SUBSIDIARY
OF
AN
INSURED
CREDIT 
UNION.—With respect to an insured credit union, the 
term ‘‘subsidiary of an insured credit union’’ 
means— 
(A) an organization providing services to 
the insured credit union that are associated with 
the routine operations of credit unions, as de-
scribed under section 107(7)(I) of the Federal 
Credit Union Act (12 U.S.C. 1757(7)(I)); 
(B) a credit union service organization, as 
such term is used under part 712 of title 12, 
Code of Federal Regulations, with respect to 
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which the insured credit union has an ownership 
interest or to which the insured credit union has 
extended a loan; and 
(C) any subsidiary of the insured credit 
union that is a State credit union. 
SEC. 3. LIMITATION ON WHO MAY ISSUE A PAYMENT 
STABLECOIN. 
(a) LIMITATION ON ISSUERS.—It shall be unlawful for 
any person other than a permitted payment stablecoin 
issuer to issue a payment stablecoin in the United States. 
(b) LIMITATION ON OFFERING OR SELLING.— 
(1) IN GENERAL.—After the end of the 18-month 
period beginning on the date of enactment of this Act, 
it shall be unlawful for any custodial intermediary to 
offer or sell a payment stablecoin in the United States 
unless the payment stablecoin was issued by a per-
mitted payment stablecoin issuer. 
(2) EXCEPTIONS
FOR
COMPARABLE
PAYMENT 
STABLECOIN REGIMES.— 
(A) IN GENERAL.—Paragraph (1) and sub-
section (a) shall not apply to the offer or sale of 
a payment stablecoin if— 
(i) the payment stablecoin was issued 
by a foreign payment stablecoin issuer; 
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(ii) the foreign payment stablecoin 
issuer is subject to regulation by a foreign 
payment stablecoin regulator of a nation 
with a payment stablecoin regulatory re-
gime that the Secretary of the Treasury de-
termines under subparagraph (B) is com-
parable to the requirements under this Act; 
and 
(iii) the foreign payment stablecoin 
issuer consents to be subject to reporting 
and examination requirements, as deter-
mined by— 
(I) the Comptroller, if the foreign 
payment 
stablecoin 
issuer 
is 
a 
nonbank; or 
(II) the Board, if the foreign pay-
ment stablecoin issuer is a banking in-
stitution or subsidiary thereof. 
(B) DETERMINATION.—With respect to a 
foreign nation, the Secretary of the Treasury 
shall determine, upon request of a foreign pay-
ment stablecoin issuer, a foreign payment 
stablecoin regulator, or on the Secretary’s own 
initiative, and in consultation with the Federal 
payment stablecoin regulators, whether the pay-
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ment stablecoin regulatory regime of such nation 
is comparable to the requirements under this Act. 
(C) PUBLIC NOTICE.—The Secretary shall 
make the list of nations for which a determina-
tion has been made under subparagraph (B) 
available to the public, and keep such list cur-
rent. 
(D) RESCINDING DETERMINATIONS.— 
(i) SECRETARIAL
ACTION.—The Sec-
retary may, in consultation with the pri-
mary Federal payment stablecoin regu-
lators, rescind a determination made under 
subparagraph (B) with respect to a foreign 
nation, if the Secretary determines that the 
regulatory regime of such nation is no 
longer comparable to the requirements 
under this Act. 
(ii) SAFEHARBORS.—If the Secretary 
rescinds a determination pursuant to clause 
(i), a custodial intermediary shall not be in 
violation of this subsection by reason of the 
offer or sale of a payment stablecoin issued 
by such nation’s foreign payment stablecoin 
issuer until 90 days after the determination 
is rescinded. 
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(3) PENALTY.—Any person who violates this sub-
section shall be subject to a civil penalty of not more 
than $100,000 for each day during which such viola-
tion continues. 
(c) RULEMAKING.—Not later than 12 months after the 
date of enactment of this Act, the Secretary shall issue such 
rules as may be required to carry out this section. 
(d) RULE OF CONSTRUCTION.—This section does not 
apply to transactions in digital assets for an individual’s 
own lawful purposes by means of a software or hardware 
wallet that facilitates such individual’s own custody of dig-
ital assets. 
SEC. 
4. 
REQUIREMENTS 
FOR 
ISSUING 
PAYMENT 
STABLECOINS. 
(a) STANDARDS
FOR
THE ISSUANCE
OF PAYMENT 
STABLECOINS.— 
(1) IN
GENERAL.—Each permitted payment 
stablecoin issuer shall— 
(A) maintain reserves backing the issuer’s 
outstanding payment stablecoins on an at least 
1 to 1 basis, with reserves comprising— 
(i) United States currency (including 
Federal reserve notes) or money standing to 
the credit of an account with a Federal re-
serve bank; 
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(ii) funds held as demand deposits (or 
other deposits that may be withdrawn upon 
request at any time) at insured depository 
institutions (including foreign branches and 
agencies of insured depository institutions) 
or approved foreign depository institutions 
(as determined in paragraph (5)(A)(v)) or 
share drafts (or other deposits that may be 
withdrawn upon request at any time) at in-
sured credit unions, subject to limitations 
established by the Corporation and the Na-
tional Credit Union Administration, respec-
tively, to address safety and soundness risks 
of such insured depository institutions; 
(iii) Treasury bills, notes, or bonds— 
(I) with a remaining maturity of 
93 days or less; or 
(II) issued with a maturity of 93 
days or less; 
(iv) repurchase agreements, wherein 
the permitted payment stablecoin issuer is 
acting as a seller of securities, or reverse re-
purchase agreements, wherein the permitted 
payment stablecoin issuer is acting as a 
purchaser of securities, with an overnight 
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maturity and that are backed by Treasury 
bills with a maturity of 93 days or less that 
are— 
(I) centrally cleared through a 
clearing agency registered with the Se-
curities and Exchange Commission; or 
(II) 
bilateral, 
settling 
either 
through delivery versus payment or 
through a tri-party control account, 
with a counterparty that the issuer has 
determined to be adequately credit 
worthy even in the event of severe mar-
ket stress; or 
(v) securities issued by an investment 
company under section 8(a) of the Invest-
ment Company Act of 1940 (15 U.S.C. 80a- 
8) that operates as a money market fund in 
compliance with Rule 2a-7 under the In-
vestment Company Act of 1940 (or any suc-
cessor rule) and that are invested solely in 
the underlying assets described in clauses 
(i) through (iv); 
(B) publicly disclose the issuer’s redemption 
policy; 
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(C) establish procedures for timely redemp-
tion 
of 
the 
issuer’s 
outstanding 
payment 
stablecoins; and 
(D) publish a report on the monthly com-
position of the issuer’s reserves on the website of 
the issuer, containing— 
(i) the total number of outstanding 
payment stablecoins issued by the issuer; 
and 
(ii) the amount and composition of the 
reserves described under subparagraph (A). 
(2) ELIGIBILITY.—Nothing in this Act shall be 
construed as expanding or contracting legal eligibility 
to make deposits, or hold an account, at a Federal re-
serve bank. 
(3) PROHIBITION
ON
REHYPOTHECATION.—Re-
serves described under paragraph (1)(A) may not be 
pledged, rehypothecated, or reused, except for the pur-
pose of satisfying obligations associated with reserves 
described under paragraph (1)(A)(iv). 
(4) MONTHLY CERTIFICATION; EXAMINATION OF 
REPORTS
BY
REGISTERED
PUBLIC
ACCOUNTING 
FIRM.— 
(A) IN
GENERAL.—A permitted payment 
stablecoin issuer shall, each month, have the in-
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formation disclosed in the previous month-end 
report required under paragraph (1)(D) exam-
ined by an independent registered public ac-
counting firm. 
(B) 
CERTIFICATION.—Each 
month, 
the 
Chief Executive Officer and Chief Financial Of-
ficer of a permitted payment stablecoin issuer 
shall submit to, as applicable, the primary Fed-
eral payment stablecoin regulator or, in the case 
of a State qualified payment stablecoin issuer, 
the State payment stablecoin regulator, a certifi-
cation that, based on such officers’ knowledge, the 
previous month-end report required under para-
graph (1)(D)— 
(i) does not contain any untrue state-
ment of material fact or omit to state a ma-
terial fact necessary in order to make the 
statements made, in light of the cir-
cumstances under which such statements 
were made, not misleading; and 
(ii) fairly presented in all material re-
spects the information required under para-
graph (1)(D) for the period presented in 
such report. 
(C) CRIMINAL PENALTIES.—Whoever— 
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(i) submits a certification set forth in 
subparagraph (B) knowing that the report 
to which the certification relates does not 
fairly present, in all material respects, the 
information required to be contained in 
such report shall be fined not more than 
$1,000,000 or imprisoned not more than 10 
years, or both; or 
(ii) willfully submits a certification set 
forth in subparagraph (B) knowing that the 
report to which the certification relates does 
not fairly present, in all material respects, 
the information required to be contained in 
such report shall be fined not more than 
$5,000,000, or imprisoned not more than 20 
years, or both. 
(5) CAPITAL, LIQUIDITY, RISK
MANAGEMENT, 
AND OTHER REQUIREMENTS.— 
(A) IN
GENERAL.—The primary Federal 
payment stablecoin regulators shall, jointly and 
in 
consultation 
with 
the 
State 
payment 
stablecoin regulators, issue rules to establish— 
(i) capital requirements applicable to a 
permitted payment stablecoin issuer that— 
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(I) are tailored to the business 
model and risk profile of a permitted 
payment stablecoin issuer; 
(II) do not exceed requirements 
which are sufficient to ensure the ongo-
ing operations of a permitted payment 
stablecoin issuer; and 
(III) if such regulators determine 
that a capital buffer is necessary to en-
sure the ongoing operations of a per-
mitted payment stablecoin issuer, may 
include capital buffers that are tailored 
to the business model and risk profile 
of a permitted payment stablecoin 
issuer; 
(ii) requirements implementing liquid-
ity standards applicable to reserves de-
scribed in paragraph (1) for a permitted 
payment stablecoin issuer, which may not 
exceed an amount that is sufficient to en-
sure the financial integrity of a permitted 
payment stablecoin issuer and the ability of 
the issuer to meet the financial obligations 
of the issuer, including redemptions; 
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(iii) reserve asset diversification and 
interest rate risk management standards 
applicable 
to 
a 
permitted 
payment 
stablecoin issuer that— 
(I) are tailored to the business 
model and risk profile of a permitted 
payment stablecoin issuer; and 
(II) do not exceed standards 
which are sufficient to ensure the ongo-
ing operations of a permitted payment 
stablecoin issuer; and 
(iv) appropriate operational, compli-
ance, information technology, and cyberse-
curity risk management standards that are 
tailored to the business model and risk pro-
file of a permitted payment stablecoin 
issuer; and 
(v) requirements regarding the ap-
proval of foreign depository institutions 
that may hold demand deposits of a per-
mitted payment stablecoin issuer. 
(B) RULE OF CONSTRUCTION.—Nothing in 
this paragraph may be construed to limit— 
(i) the authority of the primary Fed-
eral payment stablecoin regulators, in pre-
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scribing standards under this paragraph, to 
tailor or differentiate among permitted pay-
ment stablecoin issuers on an individual-
ized basis or by category, taking into con-
sideration the capital structure, business 
model risk profile, complexity, financial ac-
tivities, size, and any other risk related fac-
tors of permitted payment stablecoin issuers 
that 
the 
primary 
Federal 
payment 
stablecoin regulators determine appropriate; 
or 
(ii) the supervisory, regulatory, or en-
forcement authority of a Federal banking 
agency (as defined in section 3 of the Fed-
eral Deposit Insurance Act (12 U.S.C. 
1813)) or the National Credit Union Ad-
ministration to further the ability of an in-
stitution under the supervision of the Fed-
eral banking agency or the National Credit 
Union Administration to maintain safe and 
sound operations or comply with this Act. 
(C) APPLICABILITY
OF
EXISTING
CAPITAL 
STANDARDS.— 
(i) APPLICABILITY OF THE FINANCIAL 
STABILITY ACT OF 2010.—Section 171 of the 
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Financial Stability Act of 2010 (12 U.S.C. 
5371) shall not apply to requirements 
issued under this paragraph. 
(ii) RULES
RELATING
TO
LEVERAGE 
CAPITAL
REQUIREMENTS
OR
RISK-BASED 
CAPITAL
REQUIREMENTS.—Where an in-
sured depository institution or depository 
institution holding company, as defined 
under section 171(a)(3) of the Financial 
Stability 
Act 
of 
2010 
(12 
U.S.C. 
5371(a)(3)), includes, on a consolidated 
basis, a permitted payment stablecoin 
issuer, any rule issued by an appropriate 
Federal banking agency that imposes, on a 
consolidated basis, a leverage capital re-
quirement or risk-based capital requirement 
on such insured depository institution or 
depository institution holding company, 
shall not require such insured depository in-
stitution or depository institution holding 
company to hold, with respect to the per-
mitted payment stablecoin issuer and its as-
sets and operations, any amount of regu-
latory capital in excess of the capital that 
such permitted payment stablecoin issuer 
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must maintain under the capital require-
ments promulgated pursuant to subpara-
graph (A)(i). 
(iii) RULEMAKING.—Not later than the 
date 
the 
primary 
Federal 
payment 
stablecoin regulators issue regulations to 
carry out this section, each Federal banking 
agency, as defined in section 3 of the Fed-
eral Deposit Insurance Act (12 U.S.C. 
1813), shall amend or otherwise modify any 
rule described in clause (ii) so that it com-
plies with such clause (ii). 
(6) TREATMENT
UNDER
THE
BANK
SECRECY 
ACT.— 
(A) IN
GENERAL.—A permitted payment 
stablecoin issuer shall be treated as a financial 
institution for purposes of the Bank Secrecy Act. 
(B) REGULATIONS.—The Secretary of the 
Treasury, acting through the Director of the Fi-
nancial Crimes Enforcement Network, and in 
consultation with the primary Federal payment 
stablecoin regulators, shall issue regulations to 
apply the Bank Secrecy Act to permitted pay-
ment stablecoin issuers that are tailored to the 
size and complexity of such issuers, including by 
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requiring each permitted payment stablecoin 
issuer to— 
(i) establish and maintain an anti- 
money laundering and countering the fi-
nancing of terrorism program, which shall 
include— 
(I) an appropriate risk assess-
ment; 
(II) the development of internal 
policies, procedures, and controls; 
(III) the designation of a compli-
ance officer; 
(IV) an ongoing employee train-
ing program; and 
(V) an independent audit function 
to test such program; 
(ii) retain appropriate records of pay-
ment stablecoin transactions; 
(iii) monitor and report suspicious ac-
tivity, which may include use of appro-
priate distributed ledger analytics; and 
(iv) maintain an effective customer 
identification program to identify and 
verify 
initial 
holders 
of 
a 
payment 
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stablecoin for the purposes of carrying out 
appropriate customer due diligence. 
(7) COMPLIANCE WITH SANCTIONS.—A permitted 
payment stablecoin issuer shall comply with all laws 
and regulations related to United States sanctions ad-
ministered by the Office of Foreign Assets Control. 
(8) LIMITATION ON PAYMENT STABLECOIN AC-
TIVITIES.—A permitted payment stablecoin issuer 
may only— 
(A) issue payment stablecoins; 
(B) redeem payment stablecoins; 
(C) manage related reserves (including pur-
chasing, selling, and holding reserve assets); 
(D) provide custodial or safekeeping services 
for payment stablecoins and private keys of pay-
ment stablecoins; 
(E) provide custodial or safekeeping services 
for reserves, consistent with this Act; 
(F) undertake other functions that directly 
support activities described in subparagraphs 
(A) through (E); and 
(G) undertake such non-payment stablecoin 
activities that are allowed by the primary Fed-
eral payment stablecoin regulator. 
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(9) PROHIBITION ON YIELD.—A permitted pay-
ment stablecoin issuer may not pay interest or yield 
to holders of its payment stablecoins. 
(10) REGULATION
OF
FEDERAL
QUALIFIED 
NONBANK
PAYMENT
STABLECOIN
ISSUERS
BY
THE 
COMPTROLLER.—A Federal qualified nonbank pay-
ment stablecoin issuer shall be regulated and super-
vised exclusively by the Comptroller. 
(b) STATE-LEVEL REGULATORY REGIMES.— 
(1) IN
GENERAL.—A State qualified payment 
stablecoin issuer may only issue payment stablecoins 
pursuant to the regulation of a State payment 
stablecoin regulator of a State with a regulatory re-
gime for issuing payment stablecoins that is certified 
under this subsection as meeting or exceeding the 
standards and requirements described in subsection 
(a). 
(2) CERTIFICATION.— 
(A) IN GENERAL.—Beginning on the date 
that is 1 year after the date of enactment of this 
Act or 60 days after the rulemaking described in 
subsection (d) is completed, whichever is earlier, 
a State payment stablecoin regulator may sub-
mit to the Secretary of the Treasury a certifi-
cation that the regulatory regime of the State for 
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shall submit to the Secretary of the Treasury an 
explanation of all such material changes. 
(B) FORM OF MATERIAL CHANGES EXPLA-
NATION.—With respect to a State payment 
stablecoin regulator that submits an explanation 
of material changes to the State regulatory re-
gime under subparagraph (A), the payment 
stablecoin regulator shall make such explanation 
in the same manner, and containing the same 
attestation, as described under paragraph (3) for 
a certification. 
(5) ADVISORY OPINIONS ON PROPOSED LAWS OR 
REGULATIONS.—Upon request of any State payment 
stablecoin regulator, the Secretary of the Treasury 
shall— 
(A) review any proposed law or regulation 
of the State provided by the State payment 
stablecoin regulator; and 
(B) not later than 30 days after being pro-
vided the proposed law or regulation, either— 
(i) 
inform 
the 
State 
payment 
stablecoin regulator that the proposed law 
or regulation is consistent with a State reg-
ulatory 
regime 
for 
issuing 
payment 
stablecoins that meets or exceeds the stand-
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(ii) 
provides 
the 
State 
payment 
stablecoin regulator with a written expla-
nation for the rejection, describing the rea-
soned basis for the rejection with sufficient 
detail such that the State can bring the 
State regulatory regime into compliance 
based on the explanation. 
(B) OPPORTUNITY TO CURE.— 
(i) IN GENERAL.—With respect to a re-
jection described under subparagraph (A), 
the Secretary of the Treasury shall provide 
the State payment stablecoin regulator with 
not less than a 180-day period from the 
date on which the State payment stablecoin 
regulator is notified of such rejection to— 
(I) make such changes as may be 
necessary to ensure the regulatory re-
gime of the State for issuing payment 
stablecoins meets or exceeds the stand-
ards and requirements described in 
subsection (a); and 
(II) resubmit the certification or 
explanation of material changes. 
(ii) REJECTION.—If, after a State pay-
ment stablecoin regulator makes changes de-
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scribed under clause (i) during the period 
described in clause (i), the Secretary of the 
Treasury determines that the certification 
should be rejected, the Secretary of the 
Treasury shall, not later than 30 days after 
such determination, provide the State pay-
ment stablecoin regulator with a written ex-
planation for the determination, describing 
the reasoned basis for the determination 
with sufficient detail such that the State 
can bring its regime into compliance based 
on the explanation. 
(C) APPEAL OF REJECTION.— 
(i) IN
GENERAL.—A State payment 
stablecoin regulator that has had a certifi-
cation rejected under this paragraph may, 
after the cure period described under sub-
paragraph (B)(i), appeal such rejection to 
the United States Court of Appeals for the 
District of Columbia Circuit, which shall, 
upon a determination that the regulatory 
regime of the State for issuing payment 
stablecoins meets or exceeds the standards 
and requirements described in subsection 
(a), reverse such rejection. 
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(ii) 
REVIEW
BY
THE
SUPREME 
COURT.—The judgment and decree of the 
Court of Appeals shall be final, except that 
the same shall be subject to review by the 
Supreme Court upon certiorari, as provided 
in section 1254 of title 28, United States 
Code. 
(D) RIGHT TO RESUBMIT.—A State pay-
ment stablecoin regulator that has had a certifi-
cation rejected under this paragraph may resub-
mit a new certification under paragraph (2). 
(7) APPROPRIATE EXEMPTIVE RELIEF.—The Sec-
retary of the Treasury shall issue such rules and or-
ders as are necessary to provide appropriate exemp-
tive relief and safe harbors for State qualified pay-
ment stablecoin issuers to continue operations during 
such periods in which any rules promulgated pursu-
ant to subsection (a) materially affect a previously 
certified State regulatory regime’s ability to meet or 
exceed the standards and requirements described in 
subsection (a). 
(c) NOT INSURED BY THE FEDERAL GOVERNMENT; 
MISREPRESENTATION OF INSURED STATUS.— 
(1) IN GENERAL.—Payment stablecoins are not 
backed by the full faith and credit of the United 
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States, guaranteed by the United States Government, 
subject to deposit insurance by the Corporation, or 
subject to share insurance by the National Credit 
Union Administration. 
(2) MISREPRESENTATION
OF
INSURED
STA-
TUS.—It shall be unlawful to represent that a pay-
ment stablecoin is backed by the full faith and credit 
of the United States, guaranteed by the United States 
Government, or subject to Federal deposit insurance 
or Federal share insurance. 
(3) DISCLOSURE.—Permitted payment stablecoin 
issuers shall clearly and prominently disclose on their 
website that payment stablecoins issued by such per-
mitted payment stablecoin issuer are not guaranteed 
by the United States Government, covered by deposit 
insurance by the Federal Deposit Insurance Corpora-
tion, or covered by share insurance of the National 
Credit Union Administration. 
(4) PENALTIES.—Any person who violates this 
subsection may be prosecuted to the fullest extent of 
the law, including, as applicable, under— 
(A) section 18(a)(4) of the Federal Deposit 
Insurance Act (12 U.S.C. 1828(a)(4); relating to 
the prohibition on false advertising in connection 
with deposit insurance, the misuse of FDIC 
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names, and misrepresentations of insured sta-
tus); 
(B) section 709 of title 18, United States 
Code (relating to false advertising or misuse of 
names to indicate a Federal agency); 
(C) criminal penalties under title 18, 
United States Code, related to fraud; and 
(D) other remedies available under the law. 
(d) OFFICERS AND DIRECTORS CONVICTED OF CER-
TAIN FELONIES.—No individual who has been convicted of 
a felony offense involving insider trading, embezzlement, 
cybercrime, money laundering, financing of terrorism, or 
financial fraud may serve as— 
(1) an officer of a payment stablecoin issuer; or 
(2) a director of a payment stablecoin issuer. 
(e) RULEMAKING.— 
(1) IN
GENERAL.—The primary Federal pay-
ment stablecoin regulators may issue such orders and 
regulations as may be necessary to administer and 
carry out the requirements of this section, including 
to establish conditions, and to prevent evasions there-
of. 
(2) JOINT ISSUANCE OF REGULATION.—All regu-
lations issued to carry out this section by the primary 
Federal payment stablecoin regulators shall be issued 
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jointly, after consultation with State payment 
stablecoin regulators. 
(3) RULEMAKING DEADLINE.—Not later than the 
end of the 180-day period beginning on the date of 
enactment of this Act, the Federal payment stablecoin 
regulators shall issue regulations to carry out this sec-
tion. 
SEC. 5. APPROVAL OF SUBSIDIARIES OF INSURED DEPOSI-
TORY INSTITUTIONS AND SUBSIDIARIES OF 
NONBANK ENTITIES. 
(a) IN GENERAL.— 
(1) APPLICATION.— 
(A) IN
GENERAL.—The primary Federal 
payment stablecoin regulator shall receive, re-
view, and consider for approval applications 
from any insured depository institution that 
seeks to issue payment stablecoins through a sub-
sidiary and any nonbank entity that seeks to 
issue payment stablecoins through a subsidiary. 
(B) SHARING OF INFORMATION.—With re-
spect to applications submitted by State-char-
tered insured depository institutions, the pri-
mary Federal payment stablecoin regulator shall 
share such applications with the relevant State 
bank or State credit union supervisor. 
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(C) COMPLETION OF APPLICATION.— 
(i) IN GENERAL.—The primary Fed-
eral payment stablecoin regulator shall con-
sider an application complete if such appli-
cation contains sufficient information for 
the primary Federal payment stablecoin 
regulator to render a decision on whether 
the application meets the requirements set 
forth in section 4. 
(ii) 
MATERIAL
CHANGE
IN
CIR-
CUMSTANCES.—An 
application 
described 
under clause (i) that is considered complete 
shall remain complete unless the primary 
Federal payment stablecoin regulator deter-
mines that a material change in cir-
cumstances requires otherwise. 
(2) EVALUATION OF APPLICATIONS.—A complete 
application received under paragraph (1) shall be 
evaluated by the primary Federal payment stablecoin 
regulator based on the ability of the subsidiary of the 
applicant to meet the requirements set forth in section 
4. 
(3) TIMING FOR DECISION; GROUNDS FOR DE-
NIAL.— 
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(A) TIMING.—The primary Federal pay-
ment stablecoin regulator shall— 
(i) not later than 30 days after receiv-
ing the application— 
(I) inform the applicant whether 
the applicant has submitted a complete 
application; and 
(II) if the application is not com-
plete, inform the applicant of the addi-
tional information the applicant must 
provide in order for the application to 
be considered complete; and 
(ii) not later than 120 days after in-
forming the applicant that the application 
is complete, render a decision on an appli-
cation. 
(B) DENIAL OF APPLICATION.— 
(i) GROUNDS FOR DENIAL.— 
(I) IN
GENERAL.—The primary 
Federal payment stablecoin regulator 
may only deny a complete application 
received under paragraph (1) if the 
regulator determines that the activities 
of the applicant would be unsafe or un-
sound based on the ability of the sub-
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sidiary of the applicant to meet the re-
quirements set forth in section 4. 
(II) 
TREATMENT
OF
CERTAIN 
ISSUANCES.—The issuance of a pay-
ment stablecoin on an open, public, 
and decentralized network shall not be 
a valid ground for denial of an appli-
cation received under paragraph (1). 
(ii) EXPLANATION REQUIRED.—If the 
primary Federal payment stablecoin regu-
lator denies a complete application received 
under paragraph (1), the regulator shall, 
not later than 30 days after the date of such 
denial, provide the applicant with— 
(I) written notice explaining the 
denial with specificity, including all 
findings made by the regulator with re-
spect to all identified material short-
comings in the application; and 
(II) actionable recommendations 
on how the applicant could address the 
identified material shortcomings. 
(iii) 
OPPORTUNITY
FOR
HEARING; 
FINAL DETERMINATION.— 
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(I) IN GENERAL.—Not later than 
30 days after the date of receipt of any 
notice of the denial of an application 
under this subsection, the applicant 
may request, in writing, an oppor-
tunity for a written or oral hearing be-
fore the primary Federal payment 
stablecoin regulator to appeal the de-
nial. 
(II) TIMING.—Upon receipt of a 
timely request, the primary Federal 
payment stablecoin regulator shall no-
tice a time (not later than 30 days 
after the date of receipt of the request) 
and place at which the applicant may 
appear, personally or through counsel, 
to appeal the denial, to submit written 
materials, or to provide oral testimony 
and oral argument. 
(III) FINAL
DETERMINATION.— 
Not later than 60 days after the date 
of a hearing under this clause, the pri-
mary Federal payment stablecoin regu-
lator shall notify the applicant of the 
final determination of the primary 
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Federal payment stablecoin regulator 
with respect to the appeal, which shall 
contain a statement of the basis for 
such determination, with specific find-
ings. 
(IV) NOTICE IF NO HEARING.—If 
an applicant does not make a timely 
request for a hearing under this clause, 
the 
primary 
Federal 
payment 
stablecoin regulator shall notify the ap-
plicant, not later than 10 days after 
the date by which the applicant may 
request a hearing under this clause, in 
writing, that the denial of the applica-
tion is a final determination of the 
primary Federal payment stablecoin 
regulator. 
(C) FAILURE TO RENDER A DECISION.—If 
the primary Federal payment stablecoin regu-
lator fails to render a decision on a complete ap-
plication within the time period specified in sub-
paragraph (A), the application shall be deemed 
approved. 
(D) RIGHT TO REAPPLY.—The denial of an 
application under this subsection shall not pro-
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hibit the applicant from filing a subsequent ap-
plication. 
(4) REPORT ON PENDING APPLICATIONS.—Each 
of the primary Federal payment stablecoin regulators 
shall annually report to Congress on— 
(A) the number of calendar days each appli-
cant waited for either an approval or denial of 
an application under this subsection; 
(B) the number of calendar days each ap-
plicant with an outstanding application has 
waited for a decision; and 
(C) the number of applications that have 
been pending for 6 months or longer since the 
date of the initial application filed under para-
graph (1) where the applicant has been informed 
that the application remains incomplete, includ-
ing providing documentation on the status of the 
application and why the application has not yet 
been approved. 
(5) RULEMAKING.— 
(A) IN GENERAL.—Not later than 180 days 
after the date of enactment of this Act, the pri-
mary Federal payment stablecoin regulators 
shall, jointly, issue rules to carry out this sec-
tion, which may only relate to the application 
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process under this subsection and may not im-
plement the requirements set forth in section 4. 
(B) TAILORING OF RULES.—The joint rule-
making required under subparagraph (A) shall 
be tailored so as to minimize any incremental 
burden placed on well capitalized and highly- 
rated insured depository institutions. 
(b) EFFECTIVE DATE.— 
(1) IN GENERAL.—This section shall take effect 
on the earlier of— 
(A) 12 months after the date of enactment 
of this Act; or 
(B) the date that is 120 days after the date 
on 
which 
the 
primary 
Federal 
payment 
stablecoin regulators issue final regulations im-
plementing this section. 
(2) NOTICE TO CONGRESS.—Each of the primary 
Federal payment stablecoin regulators shall notify 
Congress upon receiving their first application. 
(c) 
EFFECT
ON
STATE
LAW
FOR
PAYMENT 
STABLECOIN ISSUERS APPROVED BY FEDERAL PAYMENT 
STABLECOIN REGULATORS UNDER THIS SECTION.—The 
provisions of this section preempt any conflicting State law 
and supersede any State licensing requirement for any 
nonbank entity or subsidiary of an insured depository in-
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stitution or credit union that is approved under this section 
to be a permitted payment stablecoin issuer. 
SEC. 6. SUPERVISION AND ENFORCEMENT WITH RESPECT 
TO SUBSIDIARIES OF INSURED DEPOSITORY 
INSTITUTIONS 
AND 
FEDERAL 
QUALIFIED 
NONBANK PAYMENT STABLECOIN ISSUERS. 
(a) SUPERVISION.— 
(1) SUBSIDIARY OF AN INSURED DEPOSITORY IN-
STITUTION.— 
(A) IN GENERAL.—Each permitted payment 
stablecoin issuer that is a subsidiary of an in-
sured depository institution shall be subject to 
supervision by the primary Federal payment 
stablecoin regulator in the same manner as such 
insured depository institution. 
(B) GRAMM-LEACH-BLILEY ACT.—For pur-
poses of title V of the Gramm-Leach-Bliley Act 
(15 U.S.C. 6801 et seq.) each permitted payment 
stablecoin issuer that is a subsidiary of an in-
sured depository institution shall be deemed a fi-
nancial institution. 
(2) FEDERAL
QUALIFIED
NONBANK
PAYMENT 
STABLECOIN ISSUER.— 
(A) SUBMISSION OF REPORTS.—Each Fed-
eral qualified nonbank payment stablecoin issuer 
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shall, upon request, submit reports to the Comp-
troller as to— 
(i) the financial condition of the Fed-
eral qualified nonbank payment stablecoin 
issuer; 
(ii) the systems of the Federal qualified 
nonbank payment stablecoin issuer for mon-
itoring and controlling financial and oper-
ating risks; and 
(iii) compliance with this Act and reg-
ulations issued pursuant to this Act by the 
Federal 
qualified 
nonbank 
payment 
stablecoin issuer. 
(B) EXAMINATIONS.—The Comptroller may 
examine a Federal qualified nonbank payment 
stablecoin issuer in order to inform the Comp-
troller of— 
(i) the nature of the operations and fi-
nancial condition of the Federal qualified 
nonbank payment stablecoin issuer; 
(ii) the financial, operational, and 
other risks within the Federal qualified 
nonbank payment stablecoin issuer that 
may pose a threat to— 
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(I) the safety and soundness of the 
Federal qualified nonbank payment 
stablecoin issuer; or 
(II) the stability of the financial 
system of the United States; 
(iii) the systems of the Federal quali-
fied nonbank payment stablecoin issuer for 
monitoring and controlling the risks de-
scribed in clause (ii); 
(iv) the compliance of the Federal 
qualified nonbank payment stablecoin issuer 
with this Act and regulations issued pursu-
ant to this Act; and 
(v) the compliance of the Federal 
qualified nonbank payment stablecoin issuer 
with the requirements of the Bank Secrecy 
Act and laws authorizing the imposition of 
sanctions and implemented by the Secretary 
of the Treasury. 
(C) REQUIREMENTS FOR EFFICIENCY.—In 
supervising and examining a Federal qualified 
nonbank payment stablecoin issuer, the Comp-
troller shall, to the fullest extent possible, use ex-
isting reports and other supervisory information. 
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(D) AVOIDANCE
OF
DUPLICATION.—The 
Comptroller shall, to the fullest extent possible, 
avoid duplication of examination activities, re-
porting requirements, and requests for informa-
tion in carrying out this Act with respect to a 
Federal qualified nonbank payment stablecoin 
issuer. 
(E) GRAMM-LEACH-BLILEY ACT.—For pur-
poses of title V of the Gramm-Leach-Bliley Act 
(15 U.S.C. 6801 et seq.) each Federal qualified 
nonbank payment stablecoin issuer shall be 
deemed a financial institution. 
(b) ENFORCEMENT.— 
(1) SUSPENSION OR REVOCATION OF REGISTRA-
TION.—The primary Federal payment stablecoin reg-
ulator may prohibit a permitted payment stablecoin 
issuer from issuing payment stablecoins, if the pri-
mary Federal payment stablecoin regulator deter-
mines that such permitted payment stablecoin issuer, 
or an institution-affiliated party of the permitted 
payment stablecoin issuer, is— 
(A) materially violating or has materially 
violated this Act or any regulation or order 
issued under this Act, including the issuer’s obli-
gations under the section 4(a)(6); or 
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(B) materially violating or has materially 
violated any condition imposed in writing by the 
primary Federal payment stablecoin regulator in 
connection with a written agreement entered into 
between the permitted payment stablecoin issuer 
and the primary Federal payment stablecoin 
regulator. 
(2) CEASE-AND-DESIST
PROCEEDINGS.—If the 
primary Federal payment stablecoin regulator has 
reasonable cause to believe that a permitted payment 
stablecoin issuer or any institution-affiliated party of 
a permitted payment stablecoin issuer is violating, 
has violated, or is attempting to violate this Act, any 
regulation or order issued under this Act, or any 
written agreement entered into with the primary Fed-
eral payment stablecoin regulator or condition im-
posed in writing by the primary Federal payment 
stablecoin regulator in connection with any applica-
tion or other request, the primary Federal payment 
stablecoin regulator may order the permitted payment 
stablecoin issuer or institution-affiliated party of the 
permitted payment stablecoin issuer to— 
(A) cease and desist from such violation or 
practice; or 
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(B) take affirmative action to correct the 
conditions resulting from any such violation or 
practice. 
(3) REMOVAL AND PROHIBITION AUTHORITY.— 
The primary Federal payment stablecoin regulator 
may remove an institution-affiliated party of a per-
mitted payment stablecoin issuer from their position 
or office or prohibit further participation in the af-
fairs of the permitted payment stablecoin issuer or all 
permitted payment stablecoin issuers by such institu-
tion-affiliated party, if the primary Federal payment 
stablecoin regulator determines that— 
(A) the institution-affiliated party has, di-
rectly or indirectly, committed a violation or at-
tempted violation of this Act or any regulation 
or order issued under this Act; or 
(B) the institution-affiliated party has com-
mitted a violation of any provision of subchapter 
II of chapter 53 of title 31, United States Code. 
(4) PROCEDURES.— 
(A) IN GENERAL.—If the primary Federal 
payment stablecoin regulator identifies a viola-
tion or attempted violation of this Act or makes 
a determination under paragraph (1), (2), or 
(3), the primary Federal payment stablecoin reg-
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(ii) section 206(k)(1) of the Federal 
Credit Union Act (12 U.S.C. 1786(k)(1)). 
(D) TEMPORARY
CEASE-AND-DESIST
PRO-
CEEDINGS.—If the primary Federal payment 
stablecoin regulator determines that a violation 
or attempted violation of this Act or an action 
with respect to which a determination was made 
under paragraph (1), (2), or (3), or the continu-
ation thereof, is likely to cause insolvency or sig-
nificant dissipation of assets or earnings of a 
permitted payment stablecoin issuer, or is likely 
to weaken the condition of the permitted pay-
ment stablecoin issuer or otherwise prejudice the 
interests of the customers of the permitted pay-
ment stablecoin issuer prior to the completion of 
the proceedings conducted under this paragraph, 
the primary Federal payment stablecoin regu-
lator may follow the procedures provided, as ap-
plicable, in— 
(i) section 8(c) of the Federal Deposit 
Insurance Act (12 U.S.C. 1818(c)) to issue 
a temporary cease-and-desist order; or 
(ii) section 206(f) of the Federal Credit 
Union Act (12 U.S.C. 1786(f)) to issue a 
temporary cease-and-desist order. 
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(5) CIVIL MONEY PENALTIES.— 
(A) FAILURE TO BE APPROVED.—Any per-
son who issues a payment stablecoin and who is 
not a permitted payment stablecoin issuer, and 
any institution-affiliated party of such a person 
who knowingly participates in issuing such a 
payment stablecoin, shall be liable for a civil 
penalty of not more than $100,000 for each day 
during which such payment stablecoins are out-
standing. 
(B) FIRST
TIER.—Except as provided in 
subparagraph 
(A), 
a 
permitted 
payment 
stablecoin issuer or institution-affiliated party of 
such permitted payment stablecoin issuer that 
materially violates this Act or any regulation or 
order issued under this Act, or that materially 
violates any condition imposed in writing by the 
primary Federal payment stablecoin regulator in 
connection with a written agreement entered into 
between the permitted payment stablecoin issuer 
and the primary Federal payment stablecoin 
regulator, shall be liable for a civil penalty of up 
to $100,000 for each day during which the viola-
tion continues. 
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(C) SECOND TIER.—Except as provided in 
subparagraph (A), and in addition to the pen-
alties described under subparagraph (B), a per-
mitted payment stablecoin issuer or institution- 
affiliated party of such permitted payment 
stablecoin issuer who knowingly participates in 
a violation of any provision of this Act, or any 
regulation or order issued thereunder, is liable 
for a civil penalty of up to an additional 
$100,000 for each day during which the viola-
tion continues. 
(D) PROCEDURE.—Any penalty imposed 
under this paragraph may be assessed and col-
lected 
by 
the 
primary 
Federal 
payment 
stablecoin regulator pursuant to the procedures 
set forth, as applicable, in— 
(i) section 8(i)(2) of the Federal De-
posit Insurance Act (12 U.S.C. 1818(i)(2)); 
or 
(ii) section 206(k)(2) of the Federal 
Credit Union Act (12 U.S.C. 1786(k)(2)). 
(E) NOTICE AND ORDERS AFTER SEPARA-
TION
FROM
SERVICE.—The resignation, termi-
nation of employment or participation, or sepa-
ration of an institution-affiliated party (includ-
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ing a separation caused by the closing of a per-
mitted payment stablecoin issuer) shall not affect 
the jurisdiction and authority of the primary 
Federal payment stablecoin regulator to issue 
any notice or order and proceed under this sub-
section against any such party, if such notice or 
order is served before the end of the 6-year period 
beginning on the date such party ceased to be an 
institution-affiliated party with respect to such 
permitted payment stablecoin issuer. 
(6) NON-APPLICABILITY TO A STATE QUALIFIED 
PAYMENT STABLECOIN ISSUER.—This subsection shall 
not apply to a State qualified payment stablecoin 
issuer, except as described in section 7(e). 
(c) SHARING
OF INFORMATION.—A State payment 
stablecoin regulator and the primary Federal payment 
stablecoin regulator shall share information on an ongoing 
basis with respect to a permitted payment stablecoin issuer 
that is a subsidiary of a State-chartered insured depository 
institution. 
SEC. 7. STATE QUALIFIED PAYMENT STABLECOIN ISSUERS. 
(a) IN GENERAL.—With respect to a State, a State 
payment stablecoin regulator shall have supervisory, exam-
ination, and enforcement authority over a State qualified 
payment stablecoin issuer of such State. 
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(b) AUTHORITY TO ENTER INTO AGREEMENTS.— 
(1) IN GENERAL.—A State payment stablecoin 
regulator may enter into a memorandum of under-
standing with the primary Federal banking agency 
and Comptroller setting out the manner in which the 
primary Federal banking agency and Comptroller 
may participate in the supervision, examination, and 
enforcement authority with respect to the State quali-
fied payment stablecoin issuers of such State. 
(2) RULE OF CONSTRUCTION.—Nothing in this 
subsection or a memorandum entered into under this 
subsection may be construed to limit the authority of 
the primary Federal banking agency or Comptroller 
under subsection (e) or any other provision of law. 
(c) SHARING OF INFORMATION.— 
(1) IN GENERAL.—A State payment stablecoin 
regulator and, as applicable, the Comptroller, the 
Board, the Corporation, or the National Credit Union 
Administration shall share information on an ongo-
ing basis with respect to each State qualified payment 
stablecoin issuer of such State, including a copy of all 
initial applications and any accompanying docu-
ments. 
(2) PRIVILEGES NOT AFFECTED BY SHARING OF 
INFORMATION.—The sharing of information under 
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paragraph (1) shall not be construed as waiving, de-
stroying, or otherwise affecting any privilege applica-
ble to such information under Federal or State law 
as to any person or entity other than the State pay-
ment stablecoin regulator, the Comptroller, the Board, 
the Corporation, and the National Credit Union Ad-
ministration. 
(d) RULEMAKING.—A State payment stablecoin regu-
lator may, to the same extent as the primary Federal pay-
ment stablecoin regulators issue orders and rules under sec-
tion 4 applicable to a permitted payment stablecoin issuer 
that is not a State qualified payment stablecoin issuer, 
issue orders and rules related to the requirements under sec-
tion 4 applicable to State qualified payment stablecoin 
issuers. 
(e) BACK-UP ENFORCEMENT AUTHORITY.— 
(1) BY THE PRIMARY FEDERAL BANKING AGEN-
CY.— 
(A) IN GENERAL.—Subject to subparagraph 
(C), the primary Federal banking agency may, 
after not less than 48 hours prior written notice 
to any applicable State payment stablecoin regu-
lator, take an enforcement action against a State 
qualified payment stablecoin issuer that is a sub-
sidiary of an insured depository institution or 
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an institution-affiliated party thereof for viola-
tions of this Act if— 
(i) the applicable State payment 
stablecoin regulator has not commenced an 
enforcement action to correct such violation; 
and 
(ii) failure to take such action would 
create a material risk of loss to holders of 
such issuer’s stablecoins or create a material 
threat to U.S. financial stability. 
(B) RULEMAKING.—Not later than the end 
of the 180-day period beginning on the date of 
enactment of this Act, the primary Federal bank-
ing agencies shall issue rules to set forth the 
standards that would be used by the primary 
Federal banking agencies to exercise the back-up 
authority under this paragraph. 
(C) BACK-UP AUTHORITY UNDER SECTION 
6(b).—Solely for purposes of carrying out this 
paragraph, section 6(b) shall apply to a State 
qualified payment stablecoin issuer that is a sub-
sidiary of an insured depository institution as if 
the primary Federal banking agency were the 
primary Federal payment stablecoin regulator 
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