According to The Block, the Blockchain Association submitted formal comments on the U.S. Treasury’s proposed rule that implements the GENIUS Act, a law that determines who may issue and sell payment stablecoins. In its submission, the association said the proposed rule lacks sufficient clarity regarding how decentralized finance (DeFi) platforms are treated under the requirements, as well as how foreign entities that issue or distribute payment stablecoins should be governed.
The GENIUS Act is a federal regulation that sets standards for the issuance and sale of payment stablecoins. The Treasury’s proposed rule interprets and applies these standards. The Blockchain Association noted that without clearer guidance, market participants—including those operating in DeFi environments and foreign issuers—would face uncertainty about compliance obligations. The group emphasized that precision in regulatory language is needed to ensure consistent application across different types of issuers and platforms.
The association did not specify alternative wording or additional conditions in its comments. It simply called for the rulemaking process to include explicit criteria for DeFi-related activities and for foreign issuers meeting certain thresholds. The submission reflects a request for clarification rather than opposition to the Act itself.
