Blockchain Association Backs Treasury's New Stablecoin Issuer Rules Under GENIUS Act

Bottom line: In its comment letter to the U.S. Treasury, the Blockchain Association is narrowing the debate down to one core question—who actually needs to have their identity verified.

The Treasury recently proposed draft rules for stablecoin issuers under the GENIUS Act, covering the scope of client ID requirements. The Blockchain Association came out in support of limiting this requirement to direct transactions between issuers and customers—that is, the primary market—rather than extending it to every link in the secondary market chain.

The group also called on the Treasury to spell out clearer definitions within the rules, though publicly available materials don't specify which exact terms or provisions need revision.

That's as far as the verifiable details go for now. The full contents of the Blockchain Association's comment letter, along with whether the Treasury will adopt the recommendation, remain to be seen.