US financial regulation is at a pivotal moment, with five key agencies jointly proposing a significant new rule on Thursday.

The Federal Deposit Insurance Corporation, the Federal Reserve, the Office of the Comptroller of the Currency, the National Credit Union Administration, and the Financial Crimes Enforcement Network under the Treasury Department have put forward this proposal.

The initiative aims to implement the "Guiding Act for Promoting the Development of US Stablecoins," passed in July 2025, explicitly requiring stablecoin issuers to adhere to federal laws on mandatory user identity verification, just like regulated banks.

This move formally classifies stablecoin issuers as regulated financial institutions, compelling them to shoulder compliance responsibilities equivalent to those of commercial banks.

This new rule is a core component of implementing the aforementioned Act, designed to address regulatory gaps in the digital asset space by strengthening Anti-Money Laundering and Counter-Terrorist Financing obligations.

According to the proposal, stablecoin issuers will be brought under the purview of the Bank Secrecy Act and must meet minimum standards including verifying the true identity of account openers, maintaining complete transaction records, and screening for members of terrorist organizations.

The agencies emphasized that treating stablecoin issuers as financial institutions is a necessary step to prevent illicit financial activities, following previous AML requirements proposed by the Treasury for such activities.

The new rule will enter a 60-day public comment period after its official publication on Monday, providing the industry with a buffer to adjust its compliance frameworks.

Despite the tightening regulations, the Act had previously garnered active support from many US stablecoin issuers, indicating the industry's urgent need for clear regulatory boundaries.

Regarding the timeline, the Act is expected to take effect 18 months after formal signing, or within 120 days after federal authorities complete the formulation of related regulations.

This schedule allows market participants ample preparation time to adjust their technical architectures and operational processes.

Earlier this year, in April, the FDIC suggested that insurance coverage for corporate deposits of stablecoin issuers should not be extended to their depositors, reflecting a cautious regulatory stance on risk isolation.

This phased regulatory approach demonstrates a balance between prioritizing financial stability and accommodating space for innovative development.

Concurrently, other aspects of the legislative process face uncertainty.

Following the passage of the "Guiding Act for Promoting the Development of US Stablecoins" last year, the US Congress has yet to set a specific timetable for reviewing the "Digital Asset Market Transparency Act."

That Act aims to clarify the responsibilities of financial institutions in supervising and enforcing cryptocurrency rules.

Although the White House and a majority in Congress anticipate the bill could pass during the August recess, Democratic lawmakers have expressed concerns about potential conflicts of interest involving legislators and elected officials.

This political maneuvering could potentially delay the final approval process.

The future compliance costs and operational efficiency of the stablecoin market will largely depend on the finalization of these legislative details.