Stablecoin Card Rules 2026: GENIUS Act and MiCA

A stablecoin card spends a dollar or euro token, and two rulebooks now decide what that token must be backed by. The US GENIUS Act became law on July 18, 2025, and the EU's MiCA has covered stablecoins since 2024. Both regulate the issuer of the stablecoin, not your card. This guide explains what each law requires, what changes for cardholders, and what to check before you load a card.

General information only. This is not legal or financial advice. Rules are still being finalized in the US, so confirm current details with the linked sources and your provider.

Quick Summary

Both laws regulate the stablecoin issuer (and, in the EU, the platforms that offer the coin), not your card directly.
US: the GENIUS Act requires licensed issuers, one-to-one reserves in specified assets, monthly reserve disclosures and a redemption policy. Treasury's proposal starts the licensing ban on January 18, 2027.
EU: MiCA lets only credit institutions or e-money institutions issue e-money tokens, redeemable at par and with no interest. Kraken lists USDT among stablecoins it delisted for EEA clients.
Neither law insures your balance. The GENIUS Act says payment stablecoins are not FDIC-insured, and your card provider's custody risk remains.
Visa and Mastercard are adding stablecoin settlement behind the scenes, which does not change how you pay a merchant.
Before you load a card, check the coin's issuer, your region's rules and who holds your balance.

What Each Rulebook Regulates

Key rules as written in the US GENIUS Act and the EU MiCA regulation.
	US: GENIUS Act	EU: MiCA (e-money tokens)
Who may issue	Permitted payment stablecoin issuers: subsidiaries of insured banks, and federal or state qualified issuers. Issuing without permission is unlawful (Sections 2 and 3).	Only a credit institution or an electronic money institution (Article 48).
Reserves	At least 1 to 1, held in cash, deposits at depository institutions, short-term Treasuries (93 days or less), qualifying repos or money market funds, or tokenized versions (Section 4).	Funds received are invested in assets denominated in the same currency as the token (Article 54).
Redemption	Issuers must publish a redemption policy with clear procedures for timely redemption (Section 4).	Holders have a right of redemption at par value (Article 49).
Interest	An issuer may not pay a holder interest or yield solely for holding, using or retaining the stablecoin (Section 4).	Neither issuers nor crypto-asset service providers may grant interest on e-money tokens (Article 50).
Government backing	Payment stablecoins are not backed by the US government or subject to FDIC deposit insurance (Section 4).	No deposit guarantee is described in the articles we reviewed.

Neither law is a card law. The GENIUS Act decides who can issue a payment stablecoin and how it is backed. MiCA also covers the crypto-asset service providers that offer those tokens, so a platform that lists a stablecoin for EU customers must comply too.

United States: The GENIUS Act and Its Timeline

The GENIUS Act was enacted on July 18, 2025. Issuers must publish the number of outstanding stablecoins and the amount and composition of their reserves every month, and the Act sets rules for foreign issuers, who must be technically able to comply with lawful orders. It leaves the details to regulators, and those are still moving:

The OCC issued a proposed rule to implement the Act on February 25, 2026, covering licensing, reserves, redemption, risk management, audits, custody and capital.
Treasury issued a further proposal on August 17, 2026 with a 60-day comment period. It treats January 18, 2027 as the date from which issuing payment stablecoins in the US without a license is prohibited, and July 18, 2028 as the date from which stablecoins offered in US markets must come from a licensed issuer.
We did not find final rules at the time of writing, so treat the timeline as proposed, not settled.

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European Union: MiCA and USDT

MiCA allows only credit institutions and e-money institutions to issue e-money tokens, gives holders a right of redemption at par, and bars interest. Existing crypto-asset service providers had up to 18 months from December 30, 2024 to become authorized (Article 143). ESMA and the European Commission also said national authorities should make providers comply with the rules on non-compliant stablecoins by the end of the first quarter of 2025.

The visible result for users is a shorter list of stablecoins on regulated platforms. Kraken's notice for EEA clients, last updated April 13, 2026, lists nine stablecoins it delisted, including USDT, PYUSD and RLUSD. EEA clients cannot trade them and can only deposit or withdraw them. On the compliant side, Circle announced an e-money institution license from France's ACPR, which lets it issue USDC and EURC under MiCA.

What This Means for a Stablecoin Card

The coin matters as much as the card. Which stablecoin your card loads, and who issues it, now determines what protections back it in your region.
Region changes the answer. A provider's EEA program may support different coins than its non-EEA program. Our stablecoin debit card guide explains how these cards work, and each card profile lists what a program supports.
Issuer rules do not protect your card balance. Reserve and redemption rules apply to the coin. If your provider holds your balance, its custody model is a separate risk. See our custodial vs non-custodial guide.
No government insurance. The GENIUS Act states that payment stablecoins are not FDIC-insured, so size the balance you keep on a card accordingly.
Taxes still apply. Spending a stablecoin is usually a disposal, with small gains. See crypto card taxes.

Visa and Mastercard Add Stablecoin Settlement

The card networks are moving too, but on the back end. On April 29, 2026, Visa said its stablecoin settlement had reached a $7 billion annualized run rate across nine blockchains and referred to more than 130 stablecoin-linked card programs in over 50 countries. On June 3, 2026, Mastercard announced plans to support on-chain card settlement using regulated stablecoins, including USDC, PYUSD, USDG, USDP, RLUSD and SoFiUSD, with ARQ, CBW Bank, Cross River, Lead Bank and Nuvei among the first partners in the US and Latin America.

This is settlement between issuers and acquirers. Merchants are still paid in fiat, and Mastercard says existing protections such as fraud safeguards and dispute processes stay in place. Regulatory status is regional, though: several coins on Mastercard's US-focused list, including PYUSD and RLUSD, are among those Kraken restricts for EEA clients.

A Checklist Before You Load a Stablecoin Card

Which stablecoin does the card use, and who issues it? Find the issuer's legal name and its license in your region.
Is that coin available where you live? EEA users should expect a shorter list on regulated platforms. US users should watch the January 18, 2027 and July 18, 2028 dates.
Who holds your balance? Check the provider's custody model and what its terms say about insolvency.
Can you redeem the coin at par, and how? Both laws require redemption rights for the coin, but a card provider may add its own conversion terms and fees.
What does it cost? Compare spreads, FX and ATM fees on the card comparison.
How much are you keeping on it? Load what you plan to spend soon.

VisaCryptoCard Team

An independent guide site. Fees and terms are checked against issuers' published sources and dated. Read our editorial policy.

Frequently Asked Questions

Does the GENIUS Act regulate crypto cards?

No. The GENIUS Act regulates who may issue payment stablecoins in the US and how they are backed. A card that spends stablecoins sits downstream of the issuer, and the card provider still has its own licenses, terms and custody arrangements.

Is USDT banned in Europe?

Holding USDT is not banned, but MiCA restricts the platforms that offer it. Kraken, for example, lists USDT among nine stablecoins it delisted for EEA clients, who can only deposit or withdraw them. A card provider's EEA program may therefore support different stablecoins than its non-EEA program, so check the card profile for your region.

Is a stablecoin balance insured or guaranteed?

Not by the government. The GENIUS Act says payment stablecoins are not backed by the full faith and credit of the United States and are not subject to FDIC deposit insurance. Reserves and redemption rules protect the coin itself, but your card provider's custody model is a separate risk.

Can a stablecoin issuer pay me interest under these laws?

In the US, a permitted issuer may not pay a holder interest or yield solely in connection with holding, using or retaining the stablecoin. In the EU, neither e-money token issuers nor crypto-asset service providers may grant interest on e-money tokens. We did not find card cashback addressed in the texts we reviewed, so check your provider's terms.

Does Visa or Mastercard stablecoin settlement mean I can pay merchants with stablecoins directly?

No. Stablecoin settlement is a back-office option for issuers and acquirers to settle card transactions. Merchants are still paid in fiat and your card works the same way at checkout.

Sources checked 2026-09-20

Disclosure: VisaCryptoCard is an independent guide site. Figures and dates come from the linked sources and can change, and this article is general information, not legal or financial advice.

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