The Federal Reserve Proposes Two Stablecoin Regulatory Rules, Clarifying Capital Reserve Requirements and Bank Issuance Procedures The U.S. Federal Reserve Board on Thursday proposed two rule drafts to fulfill its regulatory responsibilities for stablecoin issuers under the *GENIUS Act*. The proposals are now open for a 60-day public comment period. The first proposal from the Fed addresses capital and reserve requirements, aiming to ensure that stablecoins are fully backed by highly liquid assets and that issuers have a solid foundation during times of stress. This proposal also outlines the stablecoin-related activities that Fed-regulated banks are permitted to engage in, including details about stablecoin rewards. The second proposal specifies the procedures for regulated banks to issue their own stablecoins, requiring banks to submit a "business plan, financial information, and related policies, procedures, and other documents.