OCC rule leaves crypto platforms free to offer stablecoin rewards

The Office of the Comptroller of the Currency finalized a stablecoin rule that leaves crypto platforms able to offer interest-like rewards, while stablecoin issuers remain barred from paying holders interest directly. The rule sets the OCC’s approach to the GENIUS Act, the 2025 law creating a federal framework for payment stablecoins. The Federal Register’s final rule takes effect Jan. 18, 2027.

Stablecoins are crypto tokens designed to hold a steady value, often one U.S. dollar. Their issuers may earn interest on reserve assets backing the tokens. Platforms such as Coinbase and Robinhood can pass along earnings to customers as rewards, according to the Associated Press report on the rule.

What does the rule allow platforms to do?

It leaves room for platforms to offer rewards, but does not give every program automatic approval. The OCC said it will assess whether a specific arrangement violates the law based on its facts and circumstances. It also removed a proposed “rebuttable presumption,” which would have treated some arrangements as prohibited unless the parties showed otherwise.

The agency did not create a safe harbor for rewards programs, including ones that existed before the GENIUS Act. It said it retains authority to address attempts to evade the law. That means a platform’s reward program could still draw scrutiny depending on how it is structured and funded.

Why are stablecoin issuers treated differently?

The GENIUS Act bars a permitted payment stablecoin issuer from paying holders interest or yield solely for holding, using or keeping the coin. The OCC’s final rule keeps that restriction in place. The rule applies to issuers under the agency’s jurisdiction and also sets requirements for reserves, redemptions and other issuer activities.

The distinction matters because issuers and platforms play different roles. An issuer creates the stablecoin and holds the assets backing it. A platform trades or holds tokens for customers and may choose to offer rewards. The OCC’s rule does not define every reward as lawful; it says the law must be applied to each arrangement.

What is still at stake for banks?

Banks have warned that stablecoin rewards could draw deposits away from traditional accounts and reduce funds available for lending. The American Bankers Association said the OCC’s decision could threaten money banks use to make loans. Those are industry concerns, not a finding in the rule that deposit losses will happen.

The OCC’s decision leaves the rewards debate open as the GENIUS Act takes effect. Issuers cannot pay holders directly for holding stablecoins, while platform programs remain subject to case-by-case review and the agency’s anti-evasion authority.

References

• Federal Register’s final rule — govinfo.gov
• Associated Press report on the rule — apnews.com