Federal Banking Regulators Adopt a Permissive Stance on Cryptocurrency
By: Grant Bulter, Richard Kerr, and Win Gustin
The federal banking regulators have each recently adopted a more permissive approach to the regulation of cryptocurrency activities within the banking sector. The Office of the Comptroller of the Currency (OCC), the Federal Deposit Insurance Corporation (FDIC) and the Board of Governors of the Federal Reserve System (FRB) have issued new guidance that relaxes previous restrictions and requirements for banks engaging in crypto-related activities. The three agencies have also withdrawn two interagency statements, the Joint Statement on Crypto-Asset Risks to Banking Organizations (3 January 2023) and the Joint Statement on Liquidity Risks to Banking Organizations Resulting from Crypto-Asset Market Vulnerabilities (23 February 2023).