The Federal Deposit Insurance Corporation (FDIC) has approved a proposal to establish application procedures for institutions wanting to issue payment stablecoins under the GENIUS Act. This legislation permits insured depository institutions, such as banks and savings associations, to issue stablecoins through a subsidiary. To do so, these institutions must apply to the FDIC, which will evaluate their applications based on specific statutory criteria. The proposed rule outlines the FDIC's responsibilities, including reviewing applications and creating regulations for the application process. It sets clear timeframes for processing these applications and includes an appeal mechanism for any applications that are denied. Stakeholders interested in providing feedback on the proposed rule can submit comments for 60 days following its publication in the Federal Register. This move is significant as it lays the groundwork for regulated payment stablecoin issuance in the U.S. By creating a structured application process, the FDIC aims to ensure that only qualified institutions can enter this emerging market, potentially enhancing the security and stability of payment systems involving stablecoins.