US banking regulators, including the Federal Reserve, FDIC, and OCC, are easing their stance on banks engaging with cryptocurrency. They are withdrawing several documents that previously urged caution and, in some cases, required prior approval for crypto-related activities.
Specifically, the Federal Reserve is retracting supervisory letters mandating banks to seek regulatory approval before engaging in crypto-asset and stablecoin ventures. This move is coupled with the withdrawal of joint statements from 2023 that similarly cautioned banks about these activities.
This signals a potential shift in the regulatory landscape, suggesting a more open approach to banks participating in the cryptocurrency market. The removal of these documents could encourage banks to explore and engage with crypto-related opportunities, but the long-term implications remain to be seen.
