THE Federal Deposit Corp. (Fdic) and the Federal reserve have withdrawn previous warnings which have thrown cooling on the participation of banks in cryptocurrencies.
During the announcement of the moves Thursday, April 24, the bank regulators declared that they were aimed at reporting a new regulatory opening to banks engaged in digital asset activities, provided they do it carefully and within the limits of the existing law.
The FDIC and the Fed withdrew two joint declarations which were published on January 3, 2023 and February 23, 2023, and addressed the risks of crypto-active and the liquidity risks resulting from the vulnerabilities of the crypto-active market, said the FDIC on Thursday press release.
In his own press release Regarding these movements, the federal reserve said that the regulators had withdrawn their “Common declaration on the risks of crypto-assets for banking organizations“And their”Joint statement on liquidity risks to banking organizations resulting from the vulnerabilities of the crypto-active market. “”
In addition to withdrawing these joint declarations, the federal reserve declared in the press release that it cancels its 2022 supervision letter That said, the banks of the members of the State must give it a prior notification of the activities of crypto-active and its 2023 supervision letter Regarding “the process of non-acquittal of the commitment of the banks of members of the State in the activities of tokens in dollars”.
The Federal Reserve said in the press release that it would now use the normal supervision process to monitor the activities of the cryptocurrency of banks.
“These actions guarantee that the expectations of the Board of Directors remain aligned with the development of risks and support more innovation in the banking system,” the press release said.
Another banking regulator, the office of the currency controller (OCS), has resumed certain Cryptographic banking permissions March 7.
In his Letter of interpretation 1183The Occ the OCC has confirmed that custody custody of the crypto-actor, certain Stablecoin activities And Participation in independent nodes verification networks such as the large distributed book is authorized to national banks and federal savings associations.
Mint interim controller Rodney E. Hood said in a press release from March 7 that the Occ is expecting the banks to apply the same risk management controls to new banking activities as to traditional and that the West will treat these banking activities in a coherent manner, “whatever the underlying technology”.
The FDIC said in its press release on Thursday that it, the Fed And occurrence, “explore the delivery of additional clarity Regarding Crypto-assset of banking organizations and related activities in the coming weeks and months. “”
