Delaware Unveils Stablecoin Proposal Aimed at Accelerating Crypto Uptake

Delaware lawmakers have introduced the Delaware Payment Stablecoin Act (Senate Bill 19), a bipartisan proposal designed to clarify rules for payment stablecoins and encourage broader cryptocurrency adoption in the state. The measure, drafted under Delaware banking law, closely tracks the federal GENIUS Act to stay aligned with wider U.S. policy. It would require stablecoin issuers to obtain an operating license in Delaware, maintain 1:1 reserve backing for all payment stablecoins, and undergo monthly audits to confirm compliance. The bill also calls for Know Your Customer (KYC) procedures as part of broader anti-money laundering (AML) requirements. If enacted, Delaware would become the second U.S. state after Florida to advance state-level payment stablecoin legislation. Florida's bill is still awaiting the governor's signature. Delaware's proposal must first pass the Senate Banking, Business, Insurance & Technology Committee, then secure approval from the full Senate and House. Supporters argue the bill could reduce regulatory uncertainty, strengthen the standing of stablecoin payment providers, and make the state more attractive to crypto-focused businesses and institutional capital. Delaware's long-running position as a corporate-friendly incorporation hub is seen as a strategic advantage in that effort. Federal developments could complicate the outlook. A draft of the Clarity Act includes a provision that would set zero interest on dormant stablecoins, a change that could pressure yield-based models across the stablecoin ecosystem. Stocks tied to the sector, including USDC issuer Circle and crypto exchange Coinbase, have moved lower amid the proposal. The contrast between state-level encouragement in places like Delaware and Florida and potentially restrictive federal rules is likely to shape market and banking-industry responses as Delaware's bill advances.