Industry-Wide (All Financial Institutions)

FinCEN, along with the FDIC, OCC, and NCUA, issued a coordinated proposed rulemaking to fundamentally reshape AML and countering-the-financing-of-terrorism (CFT) regulations across banking and fintech. The proposal moves away from prescriptive 'box checking' compliance toward a risk-focused framework directing resources toward higher-risk customers and activities. For the first time, federal banking supervisors would be required to consult with FinCEN before taking certain AML/CFT enforcement or significant supervisory actions, significantly elevating FinCEN's authority. The rulemaking also introduces tailored AML program requirements for payment stablecoin issuers, who became designated 'financial institutions' under the GENIUS Act signed in July 2025. It aims to reduce compliance burden by discouraging penalties for minor violations and the practice of 'debanking' customers based solely on BSA violation concerns. This represents a substantial shift in how AML/CFT oversight will function across the BaaS and fintech sectors.

Verified from source: The FDIC, OCC, NCUA, and FinCEN jointly proposed a major overhaul of AML/CFT regulations, introducing a risk-focused approach, expanding FinCEN's consultation role in enforcement, and adding AML program requirements for payment stablecoin issuers. The proposal modernizes the framework for the first time since the 1970s Bank Secrecy Act.