United States: Financial Services

The U.S. Department of the Treasury has issued proposed regulations implementing the GENIUS Act, establishing a comprehensive framework for payment stablecoin issuance and transactions in the United States. What obligations will issuers and digital asset service providers face under these new rules, and how will the extraterritorial provisions affect foreign entities engaging with U.S. persons?

The U.S. Department of the Treasury has published a Notice of Proposed Rulemaking to implement Section 3 of the GENIUS Act, establishing a comprehensive regulatory framework for payment stablecoins in the United States. The proposed rule introduces core prohibitions on unauthorized stablecoin issuance and creates obligations for digital asset service providers, with significant penalties for violations including fines up to $1 million per violation or imprisonment up to five years. Treasury is seeking publi

Why would Colorado opt out of DIDMCA Section 521 if it doesn't prevent rate exportation by out-of-state banks? This analysis examines Congress's original 1980 intent behind DIDMCA Sections 521 and 525, revealing how the legislation addressed intrastate lending challenges during a period of extreme interest rates rather than interstate rate exportation concerns.

The SEC's Division of Examinations has escalated Regulation S-P from a stated 2026 priority to active sweep examinations of registered investment advisers, with documenSEC Reg S-P Sweep Exams...

The Seventh Circuit Court of Appeals has upheld the FDIC's authority to adjudicate enforcement actions through administrative proceedings rather than federal court, addressing how the Supreme Court's SEC v. Jarkesy decision applies to banking regulators. The ruling distinguishes between statutory claims with common-law origins and regulatory standards like "unsafe or unsound practices" that have no historical common-law analogue, potentially preserving administrative enforcement powers for federal banking a

Ten states have filed a lawsuit challenging the Office of the Comptroller of the Currency's authority to preempt state laws requiring mortgage lenders to pay interest on escrow accounts. The case tests whether the OCC exceeded its statutory authority under Dodd-Frank by creating federal rules designed to manufacture conflicts with state consumer protection laws. This litigation could fundamentally reshape the balance between federal banking preemption and state regulatory power.

The New York Department of Financial Services has imposed a $250,000 penalty on a licensed money transmitter following a 2022 ransomware attack that exposed critical gaps in the company's cybersecurity framework. The enforcement action highlights specific deficiencies in risk assessment protocols, cybersecurity program design, and software update policies that allegedly violated New York's Cybersecurity Regulation. This settlement underscores the regulatory expectation that financial institutions maintain r

Patsy Doerr, Chief People & Culture Officer at LRN, joins Lowenstein Sandler's Real Talk podcast to share her extensive experience in driving inclusive leadership initiatives and building ethical workplace cultures across global organizations. The conversation explores her career journey and the critical elements needed to advance inclusion, talent development, and leadership in today's corporate environment.

This weekly digest from Lowenstein Crypto examines critical regulatory developments shaping the digital asset landscape, including the SEC's upcoming meeting on crypto asset regulation, major enforcement actions against alleged fraud schemes, and the OCC's renewed openness to chartering banks engaged in digital asset businesses. The analysis covers pivotal legal battles over Federal Reserve master account access and a landmark lawsuit against North Korea over a $1.5 billion exchange hack.