OCC waiver rule puts active stablecoin issuers on notice

The Office of the Comptroller of the Currency (OCC) outlined a waiver route on Oct. 21 for existing US payment stablecoin issuers awaiting its approval, warning that an application alone will not authorize continued issuance after the GENIUS Act takes effect on Jan. 18, 2027.

Under the new waiver guidance, the OCC generally expects to grant requests to waive prior approval for existing issuers operating in the US that submit substantially complete applications before the effective date. It can still deny a request if its review identifies more compelling reasons to do so.

As of Oct. 21, the OCC’s application page said intake remained closed pending final Office of Management and Budget approval of the information collection associated with the application forms. The agency will announce acceptance in a press release and update the page.

The guidance accompanies the final GENIUS Act framework announced the same day. The final rule also takes effect Jan. 18, 2027.

Conditions on relief

Under section 15.30(g), eligible applicants must request a waiver in writing and have a substantially complete application pending with the OCC on or before Jan. 18. Substantial completeness means providing enough information for the agency to decide whether the applicant meets the relevant approval criteria.

The eligible groups include subsidiaries whose insured depository institution parents have applied for them, and issuers applying for federal qualified payment stablecoin issuer status.

Relief can run for no more than 12 months beginning Jan. 18, 2027. The agency expects individual waivers to last only as long as necessary to address the applicant's justification, so applicants cannot assume they will receive a full year.

Covered applicants can seek relief from additional provisions they cannot satisfy by the effective date, but the OCC says it has found no compelling reasons that apply generally to granting those requests.

The favorable guidance centers on current US operations. The OCC generally expects prospective issuers to begin operating in the US after approval, and has identified no generally applicable compelling grounds for waivers for issuers that are not already operating or issuing there.

Once intake opens, covered applicants are expected to request waivers as soon as practicable. The OCC says it will evaluate requests on their merits and generally act by Jan. 18.

Even a timely application could leave an existing issuer in violation of the prior approval requirement if it continues issuing without a granted waiver.