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Welcome to Goodwin’s Financial Services News Roundup. Our newsletter highlights important legal, regulatory, and business developments related to financial services and banking.
In this issue
- Treasury Proposes Rules Regarding the Issuance, Offering, and Sale of Payment Stablecoins
- FinCEN Permanently Ends Beneficial Ownership Reporting Requirements for US Companies Under Corporate Transparency Act
- FTC Issues Policy Statement Declining to Pursue Disparate-Impact and Unfair Discrimination Claims
- FDIC Announces New Review Process for Deposit Insurance Applications
- CFPB Ends Publication of Unverified Consumer Complaints
1. Treasury Proposes Rules Regarding the Issuance, Offering, and Sale of Payment Stablecoins
On August 18, the U.S. Department of the Treasury (Treasury) published in the Federal Register a notice of proposed rulemaking to implement section 3 of the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act, which governs the issuance, offering, sale, and availability of payment stablecoins in the US. Among other things, the proposed rule would define what it means to issue or offer a payment stablecoin in the United States, implement restrictions on payment stablecoin issuances, offers, and sales, and establish certain exemptions, safe harbors, and interpretations. Comments on the proposed rule are due by October 19.
2. FinCEN Permanently Ends Beneficial Ownership Reporting Requirements for US Companies Under Corporate Transparency Act
On August 14, the Treasury’s Financial Crimes Enforcement Network (FinCEN) published in the Federal Register a final rule permanently ending the beneficial ownership reporting requirements for US companies and US persons under the Corporate Transparency Act. This final rule follows FinCEN’s March 2025 interim final rule that granted largely similar relief on an interim basis. Foreign reporting companies are still required to report beneficial ownership information but are not required to report such information about a US person who is a company applicant or beneficial owner, and foreign pooled investment vehicles are not required to report beneficial ownership information about US persons who exercise substantial control. Further, US persons who previously obtained FinCEN IDs are not obligated to update or correct any information previously provided to obtain their FinCEN IDs. Foreign persons issued FinCEN IDs are still obligated to update and correct their information. FinCEN anticipates deleting from its database US person information filed before February 10, 2027. The final rule became effective on August 14.
3. FTC Issues Policy Statement Declining to Pursue Disparate-Impact and Unfair Discrimination Claims
On August 7, the Federal Trade Commission (FTC) released a policy statement announcing that it will no longer pursue disparate-impact claims. The statement follows President Trump’s Executive Order No. 14281, “Restoring Equality of Opportunity and Meritocracy,” which directs federal agencies to eliminate disparate-impact liability. The FTC stated that such liability conflicts with the Constitution and equal opportunity, imposes unnecessary burdens on businesses and the public, and exceeds the agency’s statutory authority. Although the FTC previously pursued disparate-impact claims as “unfair discrimination” under the Equal Credit Opportunity Act (ECOA) and Section 5 of the FTC Act, the policy statement asserts that the FTC lacks statutory authority to pursue such claims. The policy statement advises that the FTC will not pursue any antidiscrimination claims under Section 5 of the FTC Act but will continue to assert disparate-treatment claims under ECOA.
4. FDIC Announces New Review Process for Deposit Insurance Applications
On August 10, the Federal Deposit Insurance Corporation (FDIC) announced a new two-phase process for reviewing de novo deposit insurance applications. Under the new process, the FDIC will first determine whether to grant contingent authorization within 120 days of receiving an application. Applicants that receive contingent authorization will then have up to 12 additional months to provide any requested information and complete required organizational and pre-opening steps before the FDIC makes a final determination. The new process is intended to provide applicants with an earlier indication of the FDIC’s willingness to approve an application, subject to specified conditions, before they undertake certain costly organizational steps, while providing the FDIC additional time to complete its review. The revised procedures apply to deposit insurance applications received after August 15.
5. CFPB Ends Publication of Unverified Consumer Complaints
On August 14, the Consumer Financial Protection Bureau (CFPB) announced that it is no longer publishing unverified consumer-written complaint narratives and accompanying visualizations in its public Consumer Complaint Database due to the risks of misleading consumers with inaccurate information and adversely affecting companies’ reputations. The CFPB will continue to collect, monitor, and respond to consumers’ complaints, evaluate company responses, share complaint information with relevant state and federal regulators, and release certain information in response to FOIA requests. Previously published narratives will remain accessible through the CFPB’s FOIA Reading Room.
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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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