The U.S. Federal Reserve, the Department of the Treasury, OCC, FDIC, and other agencies jointly released a draft implementation rule for the GENIUS Act, proposing that stablecoin issuers follow customer identification program (CIP) rules similar to those of banks and other financial institutions, including verifying user identities, maintaining records of names and addresses, and screening for terrorist organizations and sanctions lists. The relevant rules are now in a 60-day public consultation period, and once finalized, they will be officially implemented. Federal Reserve Board member Michael Barr stated that the current framework does not sufficiently address the risks of illegal financing in secondary market trading of stablecoins and suggested considering expanding identity verification requirements to secondary market activities. (CoinDesk)

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MintLaterMaybe
· 7h ago
A 60-day comment period—institutions will certainly be aggressively lobbying, and the final version is expected to be noticeably toned down.
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GateUser-7a050ee5
· 7h ago
Barr mentioned that the secondary market also requires KYC. If this is truly implemented, then all DEX wallet interactions would need identity verification, and on-chain freedom would be completely lost.
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