# Outbound Investment Security Program Regulations (proposed rule, 31 CFR Parts 850 and 851)

- **ID:** WTA-R-US-0017
- **Jurisdiction:** United States (federal) (US)
- **Type:** Regulation · **Status:** Proposed · **Binding:** no
- **Issued by:** US Department of the Treasury, Office of Investment Security
- **Proposed:** 26 Oct 2026 · **Adopted:** — · **Effective:** —
- **Next milestone:** 7 Dec 2026: Written comments due on the proposed rule
- **Obligation types:** Registration or filing, Prohibited uses, Penalties
- **Sectors:** Finance, Defence
- **Penalties:** Civil penalties up to the maximum in section 206 of the International Emergency Economic Powers Act; the proposal drops the criminal penalties in the Part 850 rules.

## Summary
Proposed regulations implementing Title VIII of the Defense Production Act, added by the COINS Act in the FY2026 National Defense Authorization Act. US persons would have to notify Treasury of some transactions with covered foreign persons and would be barred from others, in semiconductors, AI, quantum, high-performance computing and hypersonic systems. The development of any ‘super intelligence (SI) system’, Treasury’s term for an AI system under EO 14434, would be prohibited technology; the definition includes generative systems, agent harnesses and robots or other autonomous systems that run on one. Countries of concern are China (with Hong Kong and Macau), Cuba, Iran, North Korea, Russia and Venezuela under Maduro.

## Why it matters
Once final, US investors could not take covered stakes in any AI developer tied to those countries. The rules in force since January 2025 bar some AI investments and require notice of others.

## Source
[Federal Register (91 FR 67396, document 2026-21786)](https://www.federalregister.gov/documents/2026/10/26/2026-21786/outbound-investment-security-program-regulations) · [secondary](https://www.govinfo.gov/content/pkg/FR-2026-10-26/html/2026-21786.htm)
Checked against the source on 28 Oct 2026. Docket TREAS-DO-2026-0595, RIN 1505-AC94. The Part 850 rules keep applying to transactions from 2 January 2025 until the final rule takes effect; the new rule is not retroactive.

## Cite
WTA-R-US-0017: Outbound Investment Security Program Regulations (proposed rule, 31 CFR Parts 850 and 851). US Department of the Treasury, Office of Investment Security. wheresthe.ai, https://wheresthe.ai/rule/us-treasury-oisp-coins-act-proposed-rule-2026/ (checked 28 Oct 2026).

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Canonical page: https://wheresthe.ai/rule/us-treasury-oisp-coins-act-proposed-rule-2026/ · Not legal advice.