I 
119TH CONGRESS 
1ST SESSION H. R. 2392 
To provide for the regulation of payment stablecoins, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 26, 2025 
Mr. STEIL (for himself, Mr. HILL of Arkansas, Mr. TORRES of New York, 
Mr. EMMER, Mr. HUIZENGA, Mr. MEUSER, Mrs. KIM, Mr. MOORE of 
North Carolina, Mr. DOWNING, Mr. HARIDOPOLOS, Mr. GOTTHEIMER, 
and Mr. LICCARDO) introduced the following bill; which was referred to 
the Committee on Financial Services 
A BILL 
To provide for the regulation of payment stablecoins, and 
for other purposes. 
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 Trans-
parency and Accountability for a Better Ledger Economy 
Act of 2025’’ or the ‘‘STABLE Act of 2025’’. 
SEC. 2. DEFINITIONS. 
In this Act: 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(1) APPROPRIATE
FEDERAL
BANKING
AGEN-
CY.—The term ‘‘appropriate Federal banking agen-
cy’’ 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 In-
surance 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. 
(5) CORPORATION.—The term ‘‘Corporation’’ 
means the Federal Deposit Insurance Corporation. 
(6) CREDIT UNION TERMS.—The terms ‘‘Fed-
eral 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). 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(7) DIGITAL ASSET.—The term ‘‘digital asset’’ 
means any digital representation of value which is 
recorded 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. 
(10) INSTITUTION-AFFILIATED
PARTY.—With 
respect 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— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
tral bank, and money issued by an intergovern-
mental organization pursuant to an agreement by 
one or more governments. 
(14) NONBANK ENTITY.—The term ‘‘nonbank 
entity’’ means a person that is not an insured depos-
itory 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 
(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— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(I) an investment company reg-
istered under section 8(a) of the In-
vestment Company Act of 1940 (15 
U.S.C. 80a–8(a)); or 
(II) a person that would be an 
investment 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 
technology 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. 
(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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(C) a State qualified payment stablecoin 
issuer. 
(17) PERSON.—The term ‘‘person’’ means an 
individual, partnership, company, corporation, asso-
ciation (incorporated or unincorporated), trust, es-
tate, cooperative organization, or other entity. 
(18) PRIMARY FEDERAL PAYMENT STABLECOIN 
REGULATOR.— 
(A) IN
GENERAL.—The term ‘‘primary 
Federal 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 Fed-
eral banking agency of such insured depos-
itory institution; 
(ii) with respect to an insured credit 
union or a subsidiary of an insured credit 
union, the National Credit Union Adminis-
tration; 
(iii) with respect to a Federal quali-
fied nonbank payment stablecoin issuer 
and any nonbank entity that seeks to have 
a subsidiary approved as a Federal quali-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
fied nonbank payment stablecoin issuer, 
the Comptroller; and 
(iv) with respect to any entity char-
tered by the Comptroller, the Comptroller. 
(B) 
PRIMARY
FEDERAL
PAYMENT 
STABLECOIN
REGULATORS.—The term ‘‘pri-
mary Federal payment stablecoin regulators’’ 
means the Comptroller, the Board, the Corpora-
tion, and the National Credit Union Adminis-
tration. 
(19) 
REGISTERED
PUBLIC
ACCOUNTING 
FIRM.—The term ‘‘registered public accounting 
firm’’ has the meaning given that term under section 
2 of the Sarbanes-Oxley Act of 2002 (15 U.S.C. 
7201). 
(20) STATE.—The term ‘‘State’’ means each of 
the several States, the District of Columbia, and 
each territory of the United States. 
(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; 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 
credit 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— 
(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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
State-chartered depository institution (as de-
fined in section 3 of the Federal Deposit Insur-
ance Act (12 U.S.C. 1813)) or a State credit 
union, the State agency that has primary regu-
latory and supervisory authority over entities 
that issue payment stablecoins in the State in 
which such State-chartered depository institu-
tion 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 
described under section 107(7)(I) of the Fed-
eral 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 
which the insured credit union has an owner-
ship interest or to which the insured credit 
union has extended a loan; and 
(C) any subsidiary of an insured credit 
union that is a State credit union. 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 2-year 
period beginning on the date of enactment of this 
Act, it shall be unlawful for any custodial inter-
mediary to offer or sell a payment stablecoin in the 
United States unless the payment stablecoin was 
issued by a permitted 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; 
(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 
determines under subparagraph (B) is 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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. 
(3) PENALTY.—Any person who violates this 
subsection shall be subject to a civil penalty of not 
more than $100,000 for each day during which such 
violation continues. 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 
reserve bank; 
(ii) funds held as demand deposits (or 
other deposits that may be withdrawn 
upon request at any time) at insured de-
pository institutions (including foreign 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
branches and agencies of insured deposi-
tory institutions) or approved foreign de-
pository institutions (as defined in para-
graph (5)(v)) or share drafts (or other de-
posits that may be withdrawn upon request 
at any time) at insured credit unions, sub-
ject to limitations established by the Cor-
poration and the National Credit Union 
Administration, respectively, 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 
repurchase agreements, wherein the per-
mitted payment stablecoin issuer is acting 
as a purchaser of securities, with an over-
night maturity and that are backed by 
Treasury bills with a maturity of 93 days 
or less that are— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00015
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(I) centrally cleared through a 
clearing agency registered with the 
Securities 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 cred-
it worthy even in the event of severe 
market stress; or 
(v) securities issued by an investment 
company under section 8(a) of the Invest-
ment Company Act of 1940 that operates 
as a money market fund in compliance 
with Rule 2a–7 under the Investment 
Company Act of 1940 (or any successor 
rule) and that are invested solely in the 
underlying assets described in clauses (i) 
through (iv) and (vi); 
(B) publicly disclose the issuer’s redemp-
tion policy; 
(C) establish procedures for timely redemp-
tion of the issuer’s outstanding payment 
stablecoins; and 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00016
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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.—The requirements to main-
tain reserves under paragraph (1)(A) may not be 
construed as expanding or contracting eligibility to 
qualify as a depository institution under section 
19(b)(1)(A) of the Federal Reserve Act (12 U.S.C. 
461(b)(1)(A)). 
(3) PROHIBITION ON REHYPOTHECATION.—Re-
serves described under paragraph (1)(A) may not be 
pledged, rehypothecated, or reused, except for the 
purpose of satisfying obligations associated with re-
serves described under paragraph (1)(A)(iv) if the 
permitted payment stablecoin issuer receives the 
prior approval of the primary Federal payment 
stablecoin regulator or the State payment stablecoin 
regulator. 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00017
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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-
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 certification that, based on such officers’ 
knowledge, the previous month-end report re-
quired under paragraph (1)(D)— 
(i) does not contain any untrue state-
ment of material fact or omit to state a 
material fact necessary in order to make 
the statements made, in light of the cir-
cumstances under which such statements 
were made, not misleading; and 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00018
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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-
scribing standards under this paragraph, 
to tailor or differentiate among permitted 
payment stablecoin issuers on an individ-
ualized basis or by category, taking into 
consideration the capital structure, busi-
ness model risk profile, complexity, finan-
cial activities, size, and any other risk re-
lated 
factors 
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. 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00022
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(C) APPLICABILITY OF EXISTING CAPITAL 
STANDARDS.— 
(i) APPLICABILITY OF THE FINANCIAL 
STABILITY ACT OF 2010.—Section 171 of 
the Financial Stability Act of 2010 (12 
U.S.C. 5371) shall not apply to require-
ments 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 require-
ment on such insured depository institu-
tion or depository institution holding com-
pany, shall not require such insured depos-
itory institution or depository institution 
holding company to hold, with respect to 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00023
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
the permitted payment stablecoin issuer 
and its assets and operations, any amount 
of regulatory capital in excess of the cap-
ital 
that 
such 
permitted 
payment 
stablecoin issuer must maintain under the 
capital requirements promulgated pursuant 
to paragraph (5)(A)(i). 
(iii) RULEMAKING.—Not later than 
the date the primary Federal payment 
stablecoin regulators issue regulations to 
carry out this section, each Federal bank-
ing agency, as defined in section 3 of the 
Federal Deposit Insurance Act (12 U.S.C. 
1813), shall amend or otherwise modify 
any regulation described in clause (ii) so 
that it complies with such clause (ii). 
(6) TREATMENT UNDER THE BANK SECRECY 
ACT.—A permitted payment stablecoin issuer shall 
be treated as a financial institution for purposes of 
the Bank Secrecy Act. 
(7) LIMITATION ON PAYMENT STABLECOIN AC-
TIVITIES.—A permitted payment stablecoin issuer 
may only— 
(A) issue payment stablecoins; 
(B) redeem payment stablecoins; 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00024
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(C) manage related reserves (including 
purchasing, selling, and holding reserve assets); 
(D) provide custodial or safekeeping serv-
ices for payment stablecoins and private keys of 
payment stablecoins; 
(E) provide custodial or safekeeping serv-
ices 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 pri-
mary Federal payment stablecoin regulator. 
(8) PROHIBITION ON YIELD.—A permitted pay-
ment stablecoin issuer may not pay interest or yield 
to holders of its payment stablecoins. 
(9) 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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00025
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 de-
scribed in subsection (d) is completed, which-
ever is earlier, a State payment stablecoin regu-
lator may submit to the Secretary of the Treas-
ury a certification that the regulatory regime of 
the State for issuing payment stablecoins meets 
or exceeds the standards and requirements de-
scribed in subsection (a). 
(B) VALIDITY OF CERTIFICATION.—A cer-
tification under subparagraph (A) shall be valid 
upon submission and remain valid unless the 
Secretary of the Treasury rejects the certifi-
cation under paragraph (6). 
(3) FORM OF CERTIFICATION.—A certification 
described under paragraph (2)— 
(A) shall contain an attestation that the 
regulatory regime of the State for issuing pay-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00026
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
ment stablecoins meets or exceeds the stand-
ards and requirements described in subsection 
(a); and 
(B) may include supporting information, 
such as a copy of any State law or regulation 
implementing such standards and requirements. 
(4) REPORT AND ATTESTATION.— 
(A) IN
GENERAL.—A State payment 
stablecoin regulator with a valid certification 
under this subsection that has made subsequent 
material changes to its State regulatory regime 
and wishes to maintain a valid certification 
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 expla-
nation of material changes to the State regu-
latory regime under subparagraph (A), the pay-
ment stablecoin regulator shall make such ex-
planation in the same manner, and containing 
the same attestation, as described under para-
graph (3) for a certification. 
(5) ADVISORY OPINIONS ON PROPOSED LAWS 
OR REGULATIONS.—Upon request of any State pay-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00027
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
lator with not less than a 180-day period 
from the date on which the State payment 
stablecoin regulator is notified of such re-
jection 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 
standards and requirements described 
in subsection (a); and 
(II) resubmit the certification or 
explanation of material changes. 
(ii) REJECTION.—If, after a State 
payment 
stablecoin 
regulator 
makes 
changes described under clause (i) during 
the period described in clause (i), the Sec-
retary of the Treasury determines that the 
certification should be rejected, the Sec-
retary of the Treasury shall, not later than 
30 days after such determination, provide 
the State payment stablecoin regulator 
with a written explanation for the deter-
mination, describing the reasoned basis for 
the determination with sufficient detail 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00030
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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. 
(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 pro-
vided in section 1254 of title 28. 
(D) RIGHT TO RESUBMIT.—A State pay-
ment stablecoin regulator that has had a certifi-
cation rejected under this paragraph may re-
submit a new certification under paragraph (2). 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00031
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(7) APPROPRIATE
EXEMPTIVE
RELIEF.—The 
Secretary of the Treasury shall issue such rules and 
orders as are necessary to provide appropriate ex-
emptive relief and safe harbors for State qualified 
payment stablecoin issuers to continue operations 
during such periods in which any rules promulgated 
pursuant to subsection (a) materially affect a pre-
viously certified State regulatory regime’s ability to 
meet or exceed the standards and requirements de-
scribed 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 
States, guaranteed by the United States Govern-
ment, subject to deposit insurance by the Corpora-
tion, 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 in-
surance or Federal share insurance. 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00032
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(3) 
DISCLOSURE.—Permitted 
payment 
stablecoin issuers shall clearly and prominently dis-
close on their website that payment stablecoins 
issued by such permitted payment stablecoin issuer 
are not guaranteed by the United States Govern-
ment, covered by deposit insurance by the Federal 
Deposit Insurance Corporation, or by share insur-
ance 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 (relating to the prohibition on 
false advertising in connection with deposit in-
surance, the misuse of FDIC names, and mis-
representations of insured status); 
(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, embezzle-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00033
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
ment, cybercrime, money laundering, financing of ter-
rorism, 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, in-
cluding to establish conditions, and to prevent eva-
sions thereof. 
(2) JOINT ISSUANCE OF REGULATION.—All reg-
ulations issued to carry out this section by the pri-
mary Federal payment stablecoin regulators shall be 
issued 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 section. 
SEC. 5. APPROVAL OF SUBSIDIARIES OF INSURED DEPOSI-
TORY INSTITUTIONS AND SUBSIDIARIES OF 
NONBANK ENTITIES. 
(a) IN GENERAL.— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00034
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 
subsidiary 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. 
(C) COMPLETION OF APPLICATION.— 
(i) IN GENERAL.—The primary Fed-
eral payment stablecoin regulator shall 
consider an application complete if such 
application contains sufficient information 
for 
the 
primary 
Federal 
payment 
stablecoin regulator to render a decision on 
whether the application meets the require-
ments set forth in section 4. 
(ii) 
MATERIAL
CHANGE
IN
CIR-
CUMSTANCES.—An application described 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00035
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
under clause (i) that is considered com-
plete shall remain complete unless the pri-
mary Federal payment stablecoin regulator 
determines that a material change in cir-
cumstances requires otherwise. 
(2) EVALUATION
OF
APPLICATIONS.—A com-
plete application received under paragraph (1) shall 
be evaluated by the primary Federal payment 
stablecoin regulator based on the ability of the sub-
sidiary of the applicant to meet the requirements set 
forth in section 4. 
(3) TIMING FOR DECISION; GROUNDS FOR DE-
NIAL.— 
(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 com-
plete application; and 
(II) if the application is not com-
plete, inform the applicant of the ad-
ditional information the applicant 
must provide in order for the applica-
tion to be considered complete; and 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00036
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 activi-
ties of the applicant would be unsafe 
or unsound based on the ability of the 
subsidiary of the applicant to meet 
the requirements 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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00037
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 
respect 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.— 
(I) IN GENERAL.—Not later than 
30 days after the date of receipt of 
any notice of the denial of an applica-
tion under this subsection, the appli-
cant may request, in writing, an op-
portunity for a written or oral hearing 
before 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-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00038
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
tice a time (not later than 30 days 
after the date of receipt of the re-
quest) and place at which the appli-
cant 
may 
appear, 
personally 
or 
through counsel, to appeal the denial, 
to submit written materials, or to pro-
vide oral testimony and oral argu-
ment. 
(III) FINAL
DETERMINATION.— 
Not later than 60 days after the date 
of a hearing under this clause, the 
primary Federal payment stablecoin 
regulator shall notify the applicant of 
the final determination of the primary 
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 
applicant, not later than 10 days after 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00039
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 
application within the time period specified in 
subparagraph (A), the application shall be 
deemed approved. 
(D) RIGHT TO REAPPLY.—The denial of 
an application under this subsection shall not 
prohibit the applicant from filing a subsequent 
application. 
(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 ap-
plicant 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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00040
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 in-
formed that the application remains incomplete, 
including providing documentation on the sta-
tus 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 primary Federal payment stablecoin regu-
lators shall, jointly, issue rules to carry out this 
section, which may only relate to the application 
process under this subsection and may not im-
plement the requirements set forth in section 4. 
(B) TAILORING
OF
RULES.—The joint 
rulemaking required under subparagraph (A) 
shall be tailored so as to minimize any incre-
mental 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— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00041
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 pri-
mary Federal payment stablecoin regulators shall 
notify Congress upon receiving their first applica-
tion. 
(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-
stitution or credit union that is approved under this sec-
tion 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 
INSTITUTION.— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00042
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(A) IN
GENERAL.—Each permitted pay-
ment stablecoin issuer that is a subsidiary of an 
insured 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 
purposes 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 insured depository institution shall be 
deemed a financial institution. 
(2) FEDERAL QUALIFIED NONBANK PAYMENT 
STABLECOIN ISSUER.— 
(A) SUBMISSION OF REPORTS.—Each Fed-
eral qualified nonbank payment stablecoin 
issuer shall, upon request, submit reports to the 
Comptroller as to— 
(i) the financial condition of the Fed-
eral qualified nonbank payment stablecoin 
issuer; 
(ii) the systems of the Federal quali-
fied nonbank payment stablecoin issuer for 
monitoring and controlling financial and 
operating risks; and 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00043
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(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 pay-
ment stablecoin issuer in order to inform the 
Comptroller 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— 
(I) the safety and soundness of 
the Federal qualified nonbank pay-
ment 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); 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00044
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(iv) the compliance of the Federal 
qualified 
nonbank 
payment 
stablecoin 
issuer with this Act and regulations issued 
pursuant 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 im-
position 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 
existing reports and other supervisory informa-
tion. 
(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 
purposes of title V of the Gramm-Leach-Bliley 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00045
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 
regulator 
may 
prohibit 
a 
permitted 
payment 
stablecoin issuer from issuing payment stablecoins, if 
the primary Federal payment stablecoin regulator 
determines that such permitted payment stablecoin 
issuer, or an institution-affiliated party of the per-
mitted 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 ob-
ligations under the section 4(a)(6); or 
(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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00046
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 
Federal payment stablecoin regulator or condition 
imposed 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 pay-
ment stablecoin issuer or institution-affiliated party 
of the permitted payment stablecoin issuer to— 
(A) cease and desist from such violation or 
practice; or 
(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 in-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00047
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
stitution-affiliated party, if the primary Federal pay-
ment 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 
committed a violation of any provision of sub-
chapter 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 
regulator shall comply with the procedures set 
forth, as applicable, in— 
(i) subsections (b) and (e) of sections 
8 of the Federal Deposit Insurance Act 
(12 U.S.C. 1818); or 
(ii) subsections (e) and (g) of section 
206 of the Federal Credit Union Act (12 
U.S.C. 1786). 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00048
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(B) JUDICIAL
REVIEW.—A person ag-
grieved by a final action under this subsection 
may obtain judicial review of such action exclu-
sively as provided, as applicable, in— 
(i) section 8(h) of the Federal Deposit 
Insurance Act (12 U.S.C. 1818(h)); or 
(ii) section 206(j) of the Federal 
Credit Union Act (12 U.S.C. 1786(j)). 
(C) INJUNCTION.—The primary Federal 
payment stablecoin regulator may, in the dis-
cretion of the regulator, follow the procedures 
for judicial enforcement of any effective and 
outstanding notice or order issued under this 
subsection provided, as applicable, in— 
(i) section 8(i)(1) of the Federal De-
posit 
Insurance 
Act 
(12 
U.S.C. 
1818(i)(1)); or 
(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 con-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00049
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
tinuation thereof, is likely to cause insolvency or 
significant 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 
payment stablecoin issuer prior to the comple-
tion of the proceedings conducted under this 
paragraph, 
the 
primary 
Federal 
payment 
stablecoin regulator may follow the procedures 
provided, as applicable, 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. 
(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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00050
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
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 regula-
tion or order issued under this Act, or that ma-
terially violates any condition imposed in writ-
ing by the primary Federal payment stablecoin 
regulator in connection with a written agree-
ment entered into between the permitted pay-
ment 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 violation continues. 
(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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00051
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
$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-
ing a separation caused by the closing of a per-
mitted payment stablecoin issuer) shall not af-
fect the jurisdiction and authority of the pri-
mary Federal payment stablecoin regulator to 
issue any notice or order and proceed under 
this subsection 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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00052
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
respect to such permitted payment stablecoin 
issuer. 
(6) NON-APPLICABILITY
TO
A
STATE
QUALI-
FIED
PAYMENT
STABLECOIN
ISSUER.—This sub-
section 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 de-
pository institution. 
SEC. 7. STATE QUALIFIED PAYMENT STABLECOIN ISSUERS. 
(a) IN GENERAL.—With respect to a State, a State 
payment stablecoin regulator shall have supervisory, ex-
amination, and enforcement authority over a State quali-
fied payment stablecoin issuer of such State. 
(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 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00053
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
enforcement authority with respect to the State 
qualified 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 Comp-
troller 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 
ongoing basis with respect to each State qualified 
payment stablecoin issuer of such State, including a 
copy of all initial applications and any accompanying 
documents. 
(2) PRIVILEGES NOT AFFECTED BY SHARING 
OF
INFORMATION.—The sharing of information 
under paragraph (1) shall not be construed as 
waiving, destroying, or otherwise affecting any privi-
lege applicable to such information under Federal or 
State law as to any person or entity other than the 
State payment stablecoin regulator, the Comptroller, 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00054
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
the Board, the Corporation, and the National Credit 
Union Administration. 
(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 
section 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 section 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 subpara-
graph (C), the primary Federal banking agency 
may, after not less than 48 hours prior written 
notice 
to 
any 
applicable 
State 
payment 
stablecoin regulator, take an enforcement action 
against a State qualified payment stablecoin 
issuer that is a subsidiary of an insured deposi-
tory institution or an institution-affiliated party 
thereof for violations of this Act if— 
(i) the applicable State payment 
stablecoin regulator has not commenced an 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00055
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
enforcement action to correct such viola-
tion; and 
(ii) failure to take such action would 
create a material risk of loss to holders of 
such issuer’s stablecoins or create a mate-
rial 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 
banking agencies shall issue rules to set forth 
the standards that would be used by the pri-
mary Federal bank 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 
subsidiary of an insured depository institution 
as if the primary Federal banking agency were 
the primary Federal payment stablecoin regu-
lator with respect to the State qualified pay-
ment stablecoin issuer. 
(D) PRIMARY FEDERAL BANKING AGENCY 
DEFINED.—In this section— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00056
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(i) the term ‘‘primary Federal bank-
ing agency’’ means— 
(I) the appropriate Federal bank-
ing agency; and 
(II) the National Credit Union 
Administration, in the case of an in-
sured credit union; and 
(ii) the term ‘‘primary Federal bank-
ing agencies’’ means the Board, the Comp-
troller, the Corporation, and the National 
Credit Union Administration. 
(2) BY THE COMPTROLLER.— 
(A) IN
GENERAL.—Subject to subpara-
graph (C), the Comptroller may, after not less 
than 48 hours prior written notice to any appli-
cable State payment stablecoin regulator, take 
an enforcement action against a State qualified 
payment stablecoin issuer that is a nonbank en-
tity or an institution-affiliated party thereof for 
violations of this Act if— 
(i) the applicable State payment 
stablecoin regulator has not commenced an 
enforcement action to correct such viola-
tion; and 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00057
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(ii) failure to take such action would 
create a material risk of loss to holders of 
such issuer’s stablecoins or create a mate-
rial 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 Comptroller shall 
issue rules to set forth the standards that would 
be used by the Comptroller 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 
nonbank entity as if the Comptroller were the 
primary Federal payment stablecoin regulator 
with respect to the State qualified payment 
stablecoin issuer. 
(f) GRAMM-LEACH-BLILEY ACT.—For purposes of 
title V of the Gramm-Leach-Bliley Act (15 U.S.C. 6801 
et seq.) a State qualified payment stablecoin issuer is 
deemed a financial institution. 
(g) INTERSTATE PAYMENT STABLECOIN MARKET.— 
(1) DEFINITIONS.—For the purposes of this 
subsection— 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00058
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
(A) the term ‘‘home State’’ means the 
State of a State qualified payment stablecoin 
issuer’s State payment stablecoin regulator; and 
(B) the term ‘‘host State’’ means a State 
other than that of the State qualified payment 
stablecoin issuer’s State payment stablecoin 
regulator. 
(2) 
AUTHORITY
TO
ISSUE
PAYMENT 
STABLECOINS IN HOST STATES.—Subject to the re-
quirements of paragraph (3), a State qualified pay-
ment 
stablecoin 
issuer 
may 
issue 
payment 
stablecoins in a host State without a charter or li-
cense to issue payment stablecoins from such host 
State. 
(3) STATE OBLIGATIONS.—Where a State quali-
fied payment stablecoin issuer issues a payment 
stablecoin in a host State pursuant to paragraph 
(2)— 
(A) 
such 
State 
qualified 
payment 
stablecoin issuer shall notify any State payment 
stablecoin regulator in such host State of the 
issuer’s intention to do business in the host 
State no less than 30 days before such issuer 
commences business in the host State and in a 
manner prescribed by the host State’s State 
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00059
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS
payment stablecoin regulator or State banking 
regulator if such State does not have a regime 
certified under section 4(b), provided that such 
notice does not impose a de facto licensure or 
chartering requirement on such State qualified 
payment stablecoin issuer; 
(B) 
such 
State 
qualified 
payment 
stablecoin issuer shall comply with all require-
ments of the issuer’s home State regulatory re-
gime when conducting business in the host 
State, and where the host State maintains a 
payment stablecoin regulatory regime that is 
certified under section 4(b), such issuer shall 
comply with any obligations of the host State’s 
payment stablecoin regulatory regime that ex-
ceed those of such issuer’s home State regu-
latory regime; 
(C) where the host State does not maintain 
a payment stablecoin regulatory regime that is 
certified under section 4(b), such State quali-
fied payment stablecoin issuer shall remain sub-
ject to all applicable consumer protection laws 
of such host State; and 
(D) where the host State maintains a pay-
ment stablecoin regulatory regime that is cer-
VerDate Sep 11 2014 
01:41 Mar 28, 2025
Jkt 059200
PO 00000
Frm 00060
Fmt 6652
Sfmt 6201
E:\BILLS\H2392.IH
H2392
ssavage on LAPJG3WLY3PROD with BILLS