Every coin backed. Every reserve disclosed.
Reserve bank and custody accounts reconciled every day against outstanding payment stablecoins, each holding tested under the GENIUS Act, and the monthly composition report built for CEO and CFO certification.
The monthly report, from the checked reserve.
What the Act tests, and what Safeheld records.
Section 4 of the GENIUS Act sets the reserve test, the monthly disclosure and the certification. A certification known to be false carries criminal penalties. GENIUS Act, section 4(a).
| Requirement | What the Act tests | What Safeheld records |
|---|---|---|
| Reserves of at least 1 to 1Section 4(a)(1)(A) | Identifiable reserves backing outstanding payment stablecoins. | Outstanding coins at their fixed redemption amount against reserves counted, every deadline. |
| Eligible assets onlySection 4(a)(1)(A)(i) to (vi) | Cash and Federal Reserve balances, insured deposits, Treasuries of 93 days or less, overnight repo and reverse repo, government money market funds. | Each holding classified, with maturity, settlement route and fund eligibility checked. |
| Tokenized reservesSection 4(a)(1)(A)(viii) | Tokenized forms of the eligible categories the Act names. | Tokenized amount shown per category. Tokenized repo not counted. |
| No rehypothecationSection 4(a)(2) | Reserves may not be pledged or reused, with narrow exceptions. | Pledged holdings counted only for a permitted purpose; others excluded and flagged. |
| Monthly compositionSection 4(a)(1)(C) | Outstanding coins, total reserves, and the average tenor and custody location of each category. | Report filled from the last checked reserve result in the month. |
| Examination and certificationSection 4(a)(3) | Monthly examination by a registered public accounting firm. CEO and CFO certify accuracy. | Examination recorded. Both certifications recorded before approval. |
Every report is reviewed and approved by your team before it is filed.
How money moves through a stablecoin issuer.
A customer wires dollars and receives coins at par.
Outstanding coins recorded at each deadline at their redemption amount.Dollars placed in deposits, bills, repo and government funds.
Each holding tested against the eligible categories and the 93-day limit.Bills and fund shares held at custodians, cash at banks.
Custody country recorded and totalled by category for the monthly report.Coins returned and burned, dollars paid out.
Redemptions forecast; reserve top-ups and transfers proposed for approval.A reserve operations day.
Reconcile, resolve, forecast, approve and report, every business day.
01Reconcile
Reserve bank and custody statements against your mint and burn ledger, by secure file transfer or upload, every day.
02Resolve
A mint with no matching wire, a custody position that disagrees with the statement: each difference raised and worked with its evidence.
03Forecast
Expected mints, redemptions and maturities over 24 hours, 7 days and 30 days, against the cash minimum you hold.
04Approve
Reserve top-ups and transfers between reserve accounts proposed, approved by up to three people under limits.
05Report
The monthly composition report filled from the checked reserve result, each figure traced to its holdings, approved after both certifications.
Questions.
How is average tenor calculated?
Value-weighted remaining days to maturity for each category. Cash and demand deposits count as zero days, overnight repo as one, and money market funds at their weighted average maturity.
Do tokenized Treasuries count?
Tokenized forms count for the categories the Act allows. Repurchase agreements in tokenized form are not counted.
What happens to reserves used in a repo?
A pledged or reused holding counts only for a purpose section 4(a)(2) permits, such as Treasury bills sold under a repurchase agreement to meet redemptions, centrally cleared or approved in advance. Anything else is excluded and flagged for breach review, and the bill is never counted twice.
Who certifies the monthly report?
The chief executive officer and chief financial officer each record their certification in Safeheld before the report can be approved. The registered public accounting firm's examination of the previous month-end report is recorded with it.
We also hold money transmitter licences. Is that covered?
Yes. State permissible investment rules run on the same platform, including the Texas rule that counts a stablecoin only up to the obligations owed in the same coin.
Do you cover MiCA, New York or Hong Kong reserve rules?
The GENIUS Act rule set is reviewed and ready today. Issuers licensed elsewhere reconcile reserve and custody accounts on the same platform, and our guides set out the MiCA, NYDFS, MAS and HKMA reserve rules.