U.S. banking group wants more time on GENIUS Act stablecoin rules – Why?

The American Bankers Association [ABA] has urged the Department of the Treasury to extend the commenting period for several proposed rules under the GENIUS Act for stablecoins. Besides the Treasury, ABA has also proposed the same request to the Federal Deposit Insurance Corporation (FDIC), the Financial Crimes Enforcement Network (FinCEN), and the Office of Foreign Assets Control (OFAC). What's behind this extension? This 60-day extension is basically intended to allow the Office of the Comptroller of the Currency (OCC) to finalize its effort. The proposal, hence, aims to dissuade people from commenting on different rules under the GENIUS Act.  To put it in perspective, regulators were expected to base their proposal on an OCC rule that was introduced on the 2nd of March, 2026. As a result, it was anticipated that people would give their best by the 1st of May 2026. Now, following the 60-day extension period, the review will not happen until June 2026. This is because the OCC sets the core rules, whereas the Treasury checks whether state rules align with federal standards. In fact, in a recent joint proposal, FinCEN and OFAC also outlined rules for stablecoin issuers. These rules target money laundering, terrorist financing, and sanctions evasion. What's more to this? Simply put, the broader aim of this extension is to ensure consistency and coordination across regulators. It also seeks to finalize a rule that all agencies agree on. This comes on the heels of the stablecoin market cap reaching $322.62 billion. In this market, nearly 99.93% of the stablecoin market share is dominated by Tether's USDT and Circle's USDC. Remarking on the same, the Bankers Association noted,  An extension would better allow the undersigned associations, our member institutions, and other interested members of the public to prepare carefully considered and well-informed comments in response to these consequential rulemakings. This was in tandem with the Digital Asset Market Clarity Act of 2025, which is also facing some friction, as lawmakers have now called that the April deadline won't be met.  In conclusion, Senator Thomas Tillis, a key negotiator, put it best when he said, It is very important for me not to accelerate things, to hear everybody, and give them a rational basis for what we do accept. Final Summary The U.S. banking group requested a 60-day extension for several proposed rules under the GENIUS Act. The purpose of the extension is to allow the OCC to complete its regulations before they are reviewed by the public.