John C. Williams, the president of the Federal Reserve Bank of New York, said he is less worried about risks from stablecoins.
Williams, who has led the New York Fed since 2018, has previously emphasized stablecoins as potentially “very useful” for payments when paired with clear regulation. His latest remarks suggest that comfort level has only grown, likely buoyed by the regulatory infrastructure that’s taken shape over the past year.
The GENIUS Act changed the conversation
Williams’ reduced concern tracks directly with the passage of the GENIUS Act, which was signed into law in July 2025 and established the first comprehensive federal framework for payment stablecoins in the US.
The law requires payment stablecoins to maintain 1:1 backing with cash and short-term instruments. It also mandates non-interest-bearing reserves and tailored risk management strategies for issuers.
