S.Amdt. 2324

This amendment, submitted by Ms. Warren, aims to add specific national security and anti-money laundering requirements to the bill concerning the regulation of payment stablecoins.

• It requires a report from the Director of National Intelligence that evaluates national security considerations for granting an application, including an assessment of whether the applicant has a history or presents a future risk of facilitating unlawful payments to North Korea or Iran.

• The Director of National Intelligence must promptly furnish these reports and provide annual updates to the primary Federal payment stablecoin regulators and State payment stablecoin regulators.

• It establishes that a criminal conviction or civil penalty against the applicant, or any person owning more than 5 percent of the applicant, for failing to comply with laws related to money laundering, countering the financing of terrorism, or sanctions makes the applicant unsafe or unsound.

• Such a conviction or civil penalty serves as a mandatory basis for the revocation of registration, requiring the issuer to liquidate reserve assets and redeem coins within 180 days, with regulators holding the authority to set the liquidation and redemption rules.