To Whom it May Concern:
The Bank Policy Institute, American Bankers Association, Consumer Bankers Association, and Independent Community Bankers of America[1] appreciate the opportunity to respond to the notice and request for comment issued by the Office of the Comptroller of the Currency regarding applications for licensing or registration to issue payment stablecoins under the Guiding and Establishing National Innovation for U.S. Stablecoins Act.[2]
In all aspects of rulemaking under the GENIUS Act, it will be critical for the OCC and other primary Federal payment stablecoin regulators to preserve the benefits of payment stablecoins for their intended use in payments and settlements, without causing undue and unnecessary risks for consumers, other stablecoin holders or users, competition, credit availability, illicit finance, or financial stability. These principles apply equally to the design of application and registration forms, because the OCC will rely on information contained in these forms to evaluate whether the prospective permitted payment stablecoin issuer (“PPSI”) or foreign payment stablecoin issuer (“FPSI”) meets the requirements set forth in the GENIUS Act and OCC regulations to be codified at 12 C.F.R. § 15.30.
We therefore reiterate and incorporate by reference the recommendations with respect to OCC application processing in the BPI-CBA-Financial Services Forum comment letter responding to the OCC’s proposal to implement the GENIUS Act for entities subject to OCC supervision.[3] In particular, we first emphasize that the OCC should consider additional factors for a PPSI applicant that is not a subsidiary of an insured depository institution (a “non-IDI applicant”). For example, the OCC should require a non-IDI applicant to demonstrate the adequacy of its governance, risk management procedures, operational resilience, cybersecurity practices and recovery planning. Consideration of these additional factors is critical because non-IDI applicants seeking to become PPSIs may not be subject to the same robust federal prudential framework to which every IDI is subject, including the federal prudential framework applicable to the parent and affiliates of an IDI. The OCC therefore should exercise its authority under section 5(c)(5) of the GENIUS Act to ensure that these applicants are subject to a comprehensive assessment that demonstrates that the non-IDI applicant can effectively operate in a safe and sound manner in compliance with all applicable law. The OCC also should require a non-IDI applicant to demonstrate that it can comply with applicable law, including federal consumer protection laws. As appropriate, the OCC should regularly examine non-IDI PPSIs within its remit for compliance with, and appropriate risk management relating to, such consumer protection laws.
To read the full comment letter, please click here, or click on the download button below.
[1] See Appendix A for a description of each association.
[2] OCC, Proposed Information Collection; Comment Request; Applications for Licensing or Registration To Issue Payment Stablecoins Under the GENIUS Act, 91 Fed. Reg. 47031 (July 27, 2026).
[3] See response to Implementing the GENIUS Act for the Issuance of Stablecoins by Entities Subject to the Jurisdiction of the OCC (91 Fed. Reg. 10202; OCC Docket ID OCC-2025-0372; March 2, 2026) by BPI, CBA, and FSF, https://bpi.com/joint-trades-comment-on-occ-genius-act-implementation/, 61-64.
