US Banks No Longer Have to Notify Crypto Activities: Fed Withdraws Draconian Rules
The US Federal Reserve officially removed both supervisory guidelines yesterday (Thursday), which had discouraged American banks from engaging in activities involving cryptocurrencies and stablecoins. Specifically, the regulator rescinded two supervisory letters—one from 2022 and another from 2023.
“These actions ensure the Board’s expectations remain aligned with evolving risks and further support innovation in the banking system,” the Fed stated in its latest announcement.
No Advance Notification Is Needed
State member banks are no longer required to notify the regulator in advance of planned or current crypto-asset activities. Instead, the Fed will monitor such activities through the normal supervisory process.
Jerome Powell, Chair…
