Issuance and treatment of payment stablecoins

It shall be unlawful for any person other than a permitted payment stablecoin issuer to issue a payment stablecoin in the United States. Except as provided in subsection (c) and section 5916 of this title, beginning on the date that is 3 years after July 18, 2025, it shall be unlawful for a digital asset service provider to offer or sell a payment stablecoin to a person in the United States, unless the payment stablecoin is issued by a permitted payment stablecoin issuer. It shall be unlawful for any digital asset service provider to offer, sell, or otherwise make available in the United States a payment stablecoin issued by a foreign payment stablecoin issuer unless the foreign payment stablecoin issuer has the technological capability to comply, and will comply, with the terms of any lawful order and any reciprocal arrangement pursuant to section 5916 of this title. The Secretary of the Treasury may issue regulations providing safe harbors from subsection (a) that are— If the Secretary of the Treasury determines that unusual and exigent circumstances exist, the Secretary may provide limited safe harbors from subsection (a). Prior to issuing a limited safe harbor under this paragraph, the Secretary of the Treasury shall submit to the chairs and ranking members of the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives a justification for the determination of the unusual and exigent circumstances, which may be contained in a classified annex, as applicable. Consistent with section 5913 of this title, the Secretary of the Treasury shall issue regulations to implement this section, including regulations to define terms. This section is intended to have extraterritorial effect if conduct involves the offer or sale of a payment stablecoin to a person located in the United States. Whoever knowingly participates in a violation of subsection (a) shall be fined not more than $1,000,000 for each such violation, imprisoned for not more than 5 years, or both. If a primary Federal payment stablecoin regulator has reason to believe that any person has knowingly violated subsection (a), the primary Federal payment stablecoin regulator may refer the matter to the Attorney General. A payment stablecoin that is not issued by a permitted payment stablecoin issuer shall not be— This section shall not apply to— Nothing in this chapter shall alter the existing authority of the Secretary of the Treasury to block, restrict, or limit transactions involving payment stablecoins that reference or are denominated in United States dollars that are subject to the jurisdiction of the United States.