According to ME News, on May 3 (UTC+8), BlackRock submitted a comment letter to the U.S. Office of the Comptroller of the Currency (OCC) opposing several reserve asset restrictions proposed in the draft implementing rules for the GENIUS Act. BlackRock urged the OCC not to impose quantitative limits on tokenized reserve assets, such as the potential 20% cap previously suggested. The firm argued that such restrictions are “irrelevant” to the OCC’s objectives, asserting that risk profiles depend on credit quality, duration, and liquidity—not whether assets are held or transferred on a distributed ledger. BlackRock also urged the OCC to explicitly confirm whether ETFs that invest solely in qualified reserve assets, such as Treasury ETFs, meet the reserve eligibility requirements under Section 4 of the GENIUS Act. The company warned that ambiguities in the proposal could deter public sector investment institutions (PSPIs) from holding ETFs in their reserves and called on the OCC to extend the same quantitative safe harbor provisions applicable to government money market funds to eligible ETFs. (Source: PANews)
BlackRock Submits Letter to OCC Opposing Proposal to Cap Tokenized Reserves
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On May 3, 2026, BlackRock sent a letter to the OCC opposing reserve asset limits in the draft rules of the GENIUS Act. The firm argued against a 20% cap on tokenized reserves, calling it irrelevant to the OCC’s objectives and emphasizing that risk stems from credit quality, not asset type. BlackRock also questioned whether Treasury ETFs qualify as eligible reserves and warned that ambiguous rules could prevent PPSIs from holding them. The firm advocates for equal treatment of ETFs and government funds, ensuring compliance with CFT regulations while supporting risk-on assets.
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