As noted in the release, the joint proposed rule represents a significant regulatory milestone by formally bringing Permitted Payment Stablecoin Issuers (PPSIs) within the Bank Secrecy Act (BSA) framework as recognized financial institutions. The rule largely mirrors the traditional bank Customer Identification Program (CIP) framework, requiring stablecoin issuers to implement a written, risk-based program tailored to their size, complexity and business model.
While this Notice of Proposed Rulemaking (NPRM) focuses specifically on primary accounts, it builds on the Financial Crimes Enforcement Network’s (FinCEN) broader April 2026 joint proposed rule, which would require PPSIs to maintain comprehensive Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) programs, designate a U.S.-based compliance officer and demonstrate the technical capability to freeze, block or reject impermissible secondary-market transactions on-chain.
