WASHINGTON—The Digital Assets Subcommittee is being asked to recognize the unique needs of credit unions as it develops policies around digital services.
America’s Credit Unions President/CEO Jim Nussle wrote to the Digital Assets Subcommittee members in advance of this week’s subcommittee hearing.
“The credit union movement recognizes the growing need for digital asset services and advocates for policies that allow credit unions to responsibly offer these services while safeguarding member interests,” the letter reads. “Key priorities include securing custodial authority for stablecoins, ensuring compatibility with credit union structures, and addressing uncertainties around reserve deposits and rehypothecation.”
In the letter, Nussle noted that America’s Credit Unions supports the framework in the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act (S. 394), which properly identifies the appropriate subsidiary entity for a credit union as a credit union service organization (CUSO). The House’s discussion draft of its stablecoin legislation does so as well.
The letter also asks Congress to:
- Consider limiting the role of foreign deposits and foreign central bank money as categories of reserves
- State clearly that credit unions are authorized to perform all the activities listed as “incidental powers” in Section 13 of the GENIUS Act respectively as incidental powers