The FDIC Proposes New Regulation, Posing Stablecoins Not Having Deposit Insurance Coverage

BlockBeats News, April 8th, according to CoinDesk, the Federal Deposit Insurance Corporation (FDIC) has officially proposed its regulatory framework for stablecoin issuers. As one of the federal financial regulatory agencies required to develop and oversee rules under last year's passed GENIUS Act, the FDIC is advancing the implementation of the related framework.

The proposal aims to align closely with the one put forward by its "sister agency," the Office of the Comptroller of the Currency (OCC), in February of this year. The FDIC's proposed framework this time around contains 144 questions and will open a 60-day public comment period.

According to the proposal, stablecoins will not have the same deposit insurance protection as traditional bank deposits.