The American Bankers Association (ABA) has criticized the Office of the Comptroller of the Currency (OCC) over its newly finalized rules for implementing the GENIUS Act, arguing that the regulator's approach conflicts with congressional intent. The rules govern how payment stablecoins are issued and held in custody.
In a statement released Wednesday, the ABA acknowledged that the final rules included "several positive steps" but remained critical of provisions concerning stablecoin yield.
OCC Drops Proposed Yield Safeguard
The GENIUS Act prohibits payment stablecoin issuers from paying yield. The OCC had proposed a rule that would have presumed certain third-party arrangements violated that ban. That provision was removed from the final version.
According to the ABA, the change creates a path for issuers to offer rewards through partners. "The final rule removes the OCC's originally proposed safeguards that would have addressed indirect arrangements involving affiliates, exchanges and other distribution partners," the group said.
The ABA added that "payment stablecoin issuers can provide economically equivalent yield while technically avoiding the statutory prohibition." It also noted that the OCC declined to adopt a broader presumption against arrangements designed to circumvent the ban.
The ABA warned that these gaps "risk undermining the distinction Congress drew between payment stablecoins and traditional bank deposits," and could threaten the funds banks use to make loans.
Industry Groups Split on the Change
The Blockchain Association, which represents crypto companies, supported the OCC's decision, saying the agency brought "the final rule more closely in line with the statutory text."
The Bank Policy Institute, another banking advocacy group, largely sided with the ABA. It said "the decision to omit the yield presumption replaces clarity with ambiguity" and added that the change "puts the banking system and its customers at risk of deposit flight."
Stablecoin rewards were a key point of debate before and after the GENIUS Act passed Congress in July 2025. The issue continues to draw attention in discussions over the Digital Asset Market Clarity Act, which would set rules for the crypto market's structure. That bill is currently stalled after a procedural vote failed in the Senate last month.
The OCC finalized its rules ahead of the GENIUS Act's implementation in January 2027. Other agencies, including the Federal Reserve and the Treasury, are expected to release their own rules on stablecoins under the law.
