BlackRock Urges OCC to Drop 20% Cap on Tokenized Stablecoin Reserves

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BlackRock urged the OCC to drop a proposed 20% cap on tokenized reserve assets in draft GENIUS Act rules for permitted payment stablecoin issuers. BlackRock said the cap is unrelated to reserve risk and asked the agency to clarify that Treasury ETFs holding only eligible assets can count as reserves. The firm said its nearly $2.6 billion BUIDL fund would be constrained by the cap and backed the OCC’s principles-based reserve diversification option.

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