Blab Crypto
U.S. Regulators and Legislators Push New Crypto Rules: Illinois Tax, Stablecoin ID Rules, CBDC Ban, and Theft-Prevention Legislation
When the sun set on June 16, Illinois Governor J.B. Pritzker added a new line to the state’s tax ledger: the Digital Asset Tax Act. The law imposes a 0.2 % privilege tax on any business activity that exchanges, transfers, or stores digital assets. A “digital asset business activity” is defined as a single transaction carried out as part of a business or on behalf of a customer. Firms located in Illinois or serving Illinois residents will need to register with the Department of Revenue, collect the tax at the point of sale, and remit it monthly beginning January 1, 2027. While the tax is earmarked to boost the FY 2027 budget, industry insiders warn that compliance costs could weigh heavily on exchanges and custodians.
In Washington, a coalition of federal agencies – FinCEN, the OCC, the Federal Reserve, the FDIC, and the NCUA – released a joint proposed rule on June 18 to operationalize the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act). The rule requires permitted payment stablecoin issuers (PPSIs) to set up a customer identification program (CIP) that is risk‑based and collects each customer’s name, date of birth or business formation date, address, and government‑issued identification number. Importantly, the CIP applies only to primary‑market activity—issuance, redemption, and custodial services—and excludes secondary‑market transactions that occur solely through smart contracts.
A bipartisan update to the 21st Century ROAD to Housing Act landed on the legislative desk on June 17. Senators Tim Scott, Elizabeth Warren, French Hill, and Maxine Waters added a provision that bars the Federal Reserve from issuing or creating a central bank digital currency (CBDC) until December 31, 2030. The bill defines a CBDC as a U.S.‑dollar‑denominated digital asset that is a direct liability of the Federal Reserve and is widely available to the public. The prohibition does not preclude the Fed from issuing other dollar‑denominated digital currencies that are open, permissionless, and preserve the privacy of U.S. coins.
On June 16, the Securities Industry and Financial Markets Association (SIFMA) filed a comment letter with the SEC regarding the agency’s Staff Statement on broker‑dealer registration of certain user interfaces used to prepare crypto‑asset securities transactions. SIFMA argued that the Staff Statement allows unregistered entities to receive transaction‑based compensation without broker‑dealer involvement, effectively creating a new class of “Covered User Interface Providers” (CUIP) that could operate outside existing regulatory frameworks. The association urged the SEC to pursue formal rulemaking to establish structured oversight and reporting for CUIPs and to clarify how registered intermediaries, custodial wallet providers, institutional users, and the broader tokenized securities ecosystem should be treated.
A bipartisan group of senators sent a letter to Treasury Secretary Scott Bessent on June 16, urging the Treasury to provide clear procedural guidance on the state certification process under Section 4(c) of the GENIUS Act. The senators expressed concern that the absence of timelines and procedural clarity could effectively foreclose state participation in stablecoin regulation. They requested that the Treasury confirm that certification will remain available on an ongoing basis rather than as a one‑time window, noting that the GENIUS Act’s annual recertification requirement supports a continuing process.
On June 11, Representatives Lance Gooden and Josh Gottheimer introduced the Federal Cryptocurrency Theft Enforcement and Coordination Act. The bill proposes the creation of a federal cryptocurrency theft task force within the Department of Justice, comprising the FBI, Department of Homeland Security, Treasury, and other agencies as directed by the Attorney General. The legislation responds to a reported $11 billion in crypto‑related losses in 2025 and seeks to strengthen prevention, investigation, and prosecution of cryptocurrency theft.
In sum, the week’s developments signal a tightening of regulatory oversight across multiple fronts. Illinois will impose a new tax on digital‑asset transactions, federal agencies are moving to enforce stricter customer‑identification rules for stablecoins, lawmakers are limiting the Federal Reserve’s ability to issue a CBDC, and industry groups are pushing for clearer rules on wallet interfaces. Meanwhile, bipartisan legislators are urging the Treasury to clarify state‑level certification procedures, and Congress is proposing a dedicated task force to combat cryptocurrency theft. The regulatory landscape is evolving rapidly, and market participants will need to monitor the final rules and legislative actions that will shape compliance and operational requirements in the coming months.
In Washington, a coalition of federal agencies – FinCEN, the OCC, the Federal Reserve, the FDIC, and the NCUA – released a joint proposed rule on June 18 to operationalize the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act). The rule requires permitted payment stablecoin issuers (PPSIs) to set up a customer identification program (CIP) that is risk‑based and collects each customer’s name, date of birth or business formation date, address, and government‑issued identification number. Importantly, the CIP applies only to primary‑market activity—issuance, redemption, and custodial services—and excludes secondary‑market transactions that occur solely through smart contracts.
A bipartisan update to the 21st Century ROAD to Housing Act landed on the legislative desk on June 17. Senators Tim Scott, Elizabeth Warren, French Hill, and Maxine Waters added a provision that bars the Federal Reserve from issuing or creating a central bank digital currency (CBDC) until December 31, 2030. The bill defines a CBDC as a U.S.‑dollar‑denominated digital asset that is a direct liability of the Federal Reserve and is widely available to the public. The prohibition does not preclude the Fed from issuing other dollar‑denominated digital currencies that are open, permissionless, and preserve the privacy of U.S. coins.
On June 16, the Securities Industry and Financial Markets Association (SIFMA) filed a comment letter with the SEC regarding the agency’s Staff Statement on broker‑dealer registration of certain user interfaces used to prepare crypto‑asset securities transactions. SIFMA argued that the Staff Statement allows unregistered entities to receive transaction‑based compensation without broker‑dealer involvement, effectively creating a new class of “Covered User Interface Providers” (CUIP) that could operate outside existing regulatory frameworks. The association urged the SEC to pursue formal rulemaking to establish structured oversight and reporting for CUIPs and to clarify how registered intermediaries, custodial wallet providers, institutional users, and the broader tokenized securities ecosystem should be treated.
A bipartisan group of senators sent a letter to Treasury Secretary Scott Bessent on June 16, urging the Treasury to provide clear procedural guidance on the state certification process under Section 4(c) of the GENIUS Act. The senators expressed concern that the absence of timelines and procedural clarity could effectively foreclose state participation in stablecoin regulation. They requested that the Treasury confirm that certification will remain available on an ongoing basis rather than as a one‑time window, noting that the GENIUS Act’s annual recertification requirement supports a continuing process.
On June 11, Representatives Lance Gooden and Josh Gottheimer introduced the Federal Cryptocurrency Theft Enforcement and Coordination Act. The bill proposes the creation of a federal cryptocurrency theft task force within the Department of Justice, comprising the FBI, Department of Homeland Security, Treasury, and other agencies as directed by the Attorney General. The legislation responds to a reported $11 billion in crypto‑related losses in 2025 and seeks to strengthen prevention, investigation, and prosecution of cryptocurrency theft.
In sum, the week’s developments signal a tightening of regulatory oversight across multiple fronts. Illinois will impose a new tax on digital‑asset transactions, federal agencies are moving to enforce stricter customer‑identification rules for stablecoins, lawmakers are limiting the Federal Reserve’s ability to issue a CBDC, and industry groups are pushing for clearer rules on wallet interfaces. Meanwhile, bipartisan legislators are urging the Treasury to clarify state‑level certification procedures, and Congress is proposing a dedicated task force to combat cryptocurrency theft. The regulatory landscape is evolving rapidly, and market participants will need to monitor the final rules and legislative actions that will shape compliance and operational requirements in the coming months.
