Federal Money Services Business Association
| File:FedMSBLogo.svg | |
| Abbreviation | FedMSB |
|---|---|
| Founded | April 14, 2025[1] |
| Type | Industry trade group; Professional association; Advocacy group; Standards organization[2][3] |
| 33-4828056 | |
| Legal status | 501(c)(6) [4] |
| Headquarters | New York City, U.S.[5] |
President | Van Young[6] |
| Website | fedmsb |
Federal Money Services Business Association (FedMSB) is a U.S.-based national nonprofit trade association, organized under IRC § 501(c)(6) and incorporated in New York, focused on issues affecting money services businesses (MSBs), including money transmitters and payment service providers.[4][1][2] Public-facing materials describe FedMSB as publishing technical standards materials and other public documents, including materials associated with “MSB 2.0”.[8][9][3]
FedMSB publishes a journal titled BitCurrency Journal.[10][11] It also links to an external MSB 2.0 community site as part of its ecosystem.[12][8]
Advocacy
Public-facing materials describe FedMSB as positioning its policy advocacy around the modernization of the U.S. payments and value-transfer system, with Money Services Businesses (MSBs) characterized as regulated participants rather than peripheral intermediaries.[9] These materials commonly emphasize interoperability, standards-based operating models, and a compliance architecture intended to be auditable and enforceable.[8]
Primary advocacy positions
Stablecoin regulatory perimeter: maintain the MSB model and dual-layer oversight
FedMSB policy materials describe non-bank issuance of payment stablecoins as activity that should remain within money transmission / MSB regulatory frameworks, including the BSA/FinCEN AML framework and state money transmitter licensing (MTL) regimes. These materials recommend clarifying FinCEN’s AML authority and maintaining the enforceability of state MTLs for stablecoin-related operations, with the stated aim of limiting regulatory arbitrage.[13][14][15][16]
Illicit-finance governance: technology-enabled detection and standardized evidence exchange
In materials describing its submissions to the U.S. Treasury, FedMSB describes illicit-finance detection involving digital assets as a policy priority, including the use of APIs, AI, digital identity verification, and on-chain monitoring for risk identification and mitigation.[17][18] Reported recommendations include standardizing interfaces for evidence and risk-signal exchange and piloting privacy-preserving collaboration across market participants.[18][19]
Risk-based perimeter and settlement-layer accountability: cross-agency coordination and identifiable settlement infrastructure
In materials associated with its stablecoin standards platform (SSA), FedMSB describes a risk-based approach to stablecoin oversight. These materials identify settlement-layer anonymity and offshore USD-referenced stablecoin arrangements with U.S. nexus as risk areas, and describe proposals related to settlement-infrastructure identifiability and registry mechanisms, including concepts such as node-level identity/KYC.[3][20][21]
Payments access and system resilience: reduce fragility and concentration in indirect access pathways
In comment materials addressing Federal Reserve proposals, FedMSB links MSB access to clearing and settlement to system resilience and describes MSBs as relying on indirect access pathways. These materials associate that structure with operational continuity concerns and potential concentration risks during de-risking cycles.[22][23][24] The associated recommendations emphasize control requirements and standardized templates, including AML/BSA/CFT, sanctions, cybersecurity, and operational resilience, along with metrics and reporting frameworks.[23]
Stablecoin Standards Authority (SSA)
The Stablecoin Standards Authority is a proposal by the FedMSB as "a standards platform within FedMSB created to develop and maintain a standards framework for U.S. dollar–denominated stablecoins operating in the Money Services Business (MSB) ecosystem".[3][25]
SSA materials describe five core domains:
- Technical Standards (reserve structure, smart-contract security, resilience/uptime, interoperability)
- Compliance & Governance Standards (AML/KYC expectations, risk frameworks, incident response, key management)
- Transparency & Reporting Standards (reserve disclosures; templates aligned to the AICPA stablecoin reporting framework)
- Education & Research (working groups, white papers, seminars)
- Voluntary Certification & Assessment (third-party assessments; optional benchmarking)[3][25]
FedMSB materials state that SSA is overseen by a Steering Board and runs topic-specific Working Groups. Draft standards are intended to be published for public comment.[3][25]
Education and public outreach programs
The Federal Financial Education Institute (FedFin), described as a subsidiary of FedMSB, organizes outreach programs focused on financial education and literacy. FedFin administers these programs, including:
- U.S. MSB Daily News
- Money Dictionary
- Safe Transmission for Seniors
- Decentralized Finance Education for Youth
Global National Currency Index (GNCI)
GNCI is an annual index described as providing a comparative assessment of national currency systems and national-level infrastructure readiness across jurisdictions.[10]
- Published through BitCurrency Journal as a GNCI Special Report.[10]
- GNCI materials describe sections including: Executive Summary; What Counts as a National Currency; How the Sample Is Built; Methodology; Data and Monitoring; The GNCI Results; Governance of the GNCI Standard; Base Currency Universe; GNCI Standard Pool; Replication and Next Steps.[10]
American Stablecoin Index (AmCoinX)
AmCoinX is described as a public benchmark intended to track stability, transparency, and “market behavior” indicators across U.S. dollar–denominated stablecoins.[25][3] Materials describe it as intended to:
- track indicators of stability, transparency, and market behavior across USD stablecoins
- provide a public benchmark aligned with SSA materials
- support comparisons of stablecoin operations in practice[25][3]
United Clearing Network (UCNet)
UCNet is described in FedMSB materials as an on-chain clearing protocol with three layers:
- Protocol Layer
- Integration Layer
- Services Layer
FedMSB materials also describe a “neutrality doctrine” (No Chain / No Wallet / No Coin).[26]
U.S. Digital Money Order (USDMO)
The USDMO is described in FedMSB materials as a fixed-denomination digital payment instrument issued on a blockchain and presented as an alternative to physical money orders.[citation needed]
Two key characteristics described in those materials include:[citation needed]
- Fixed face value (amount certainty).[citation needed]
- Instrument-like, on-chain form (remittance utility).[citation needed]
References
- ↑ 1.0 1.1 "Entity Name History: FEDERAL MONEY SERVICES BUSINESS ASSOCIATION INC". New York State Department of State – Corporation & Business Entity Database. Retrieved 2025-12-25.
- ↑ 2.0 2.1 "About Us – FedMSB". FedMSB. Retrieved 2025-12-25.
- ↑ 3.0 3.1 3.2 3.3 3.4 3.5 3.6 3.7 "Federal Money Services Business Association Launches Stablecoin Standards Authority (SSA)" (Press release). 2025-12-02. Retrieved 2025-12-25 – via PR Newswire.
- ↑ 4.0 4.1 "IRS Determination Letter (Letter 948) for FEDERAL MONEY SERVICES BUSINESS ASSOCIATION INC. (EIN 33-4828056)" (PDF). Internal Revenue Service. Retrieved 2025-12-25.
- ↑ "Contact Us – FedMSB". FedMSB. Retrieved 2025-12-25.
- ↑ "Registrant information and filings (Reg. ID 77093)". Office of the Clerk, U.S. House of Representatives – Lobbying Disclosure. Retrieved 2025-12-25.
- ↑ "FedMSB". FedMSB. Retrieved 2025-12-25.
- ↑ 8.0 8.1 8.2 "MSB 2.0 – FedMSB". FedMSB. Retrieved 2025-12-25.
- ↑ 9.0 9.1 "Advocacy – FedMSB". FedMSB. Retrieved 2025-12-25.
- ↑ 10.0 10.1 10.2 10.3 "BitCurrency". BitCurrency: A Journal of Digital Value and Money Services. Retrieved 2025-12-25.
- ↑ "About the Journal". BitCurrency. Retrieved 2025-12-25.
- ↑ "MSB 2.0 – The Next-Generation Framework for MSBs". MSB 2.0. Retrieved 2025-12-25.
- ↑ "Policy Position On The GENIUS Act (S.1582)". FedMSB (Advocacy). Retrieved 2025-12-25.
- ↑ "Letter to Congress – FedMSB". FedMSB. Retrieved 2025-12-25.
- ↑ "S.1582 - GENIUS Act (119th Congress)". Congress.gov. Retrieved 2025-12-25.
- ↑ "The GENIUS Act and Stablecoins: Could This Replace State Money Transmitter Licensing?". K&L Gates. 2025-10-06. Retrieved 2025-12-25.
- ↑ "Treasury Issues Request for Comment Related to the Detection of Illicit Activity Involving Digital Assets". U.S. Department of the Treasury. 2025-08-18. Retrieved 2025-12-25.
- ↑ 18.0 18.1 "FedMSB Submits Comment to U.S. Treasury on Innovative Approaches to Detect Illicit Activity Involving Digital Assets". FedMSB (Press release). 2025-08-22. Retrieved 2025-12-25.
- ↑ "CFOs Get Crypto Compliance Blueprint From Treasury Comments on Stablecoin Risks". PYMNTS.com. 2025-10-09. Retrieved 2025-12-25.
- ↑ "SSA Petitions U.S. Regulators to Align GENIUS Act Implementation, Issue USDT High-Risk Guidance, and Establish On-chain Node KYC" (Press release). 2025-12-08. Retrieved 2025-12-25 – via PR Newswire.
- ↑ "SSA Files Multi-Agency Petition Urging Coordinated GENIUS Act Implementation, Heightened USDT Risk Treatment, and On-chain Node KYC Rules". FedMSB (Press release). 2025-12-08. Retrieved 2025-12-25.
- ↑ "Federal Reserve Board requests public input on "payment account," which eligible financial institutions could use for the limited purpose of clearing and settling their payments". Board of Governors of the Federal Reserve System. 2025-12-19. Retrieved 2025-12-25.
- ↑ 23.0 23.1 "FedMSB Files Comment on Fed "Payment Account" Proposal". FedMSB. 2025-12-22. Retrieved 2025-12-25.
- ↑ "Fed seeks 'skinny' account comment". Payments Dive. 2025-12-22. Retrieved 2025-12-25.
- ↑ 25.0 25.1 25.2 25.3 25.4 "FedMSB Launches the Stablecoin Standards Authority (SSA)". FedMSB (Press release). 2025-12-01. Retrieved 2025-12-25.
- ↑ "United Clearing Network (UCNet)". FedMSB. Retrieved 2025-12-25.
External links
- Official website
- MSB 2.0 community: https://msb2.org/
- BitCurrency Journal: https://bitcurrency.money/
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