Why US Fed decided to stop crypto-focused supervision of banks introduced after Silicon Valley Bank collapse | Business News
In a fresh boost for cryptocurrency popularisation in America, the US Federal Reserve on Friday withdrew its Novel Activities Supervision Program which was unveiled in the aftermath of the collapse of cryptocurrency exchange FTX and its domino effect on three lenders — Silicon Valley Bank (SVB), Signature Bank and Silvergate Bank in 2023.
The Fed on Friday announced that it will “sunset its novel activities supervision program and return to monitoring banks’ novel activities through the normal supervisory process.”
The move follows a series of pushes from the Trump administration — from the GENIUS Act to promote stablecoins (dollar backed cryptocurrencies) to an executive order allowing the investment of 401K retirement corpus…
