US Banks Get Green Light to Engage with Cryptocurrency and Stablecoins

The US banking regulator has relaxed restrictions on banks engaging in cryptocurrency and stablecoin activities.

The Office of the Comptroller of the Currency (OCC) no longer requires banks to meet specific conditions before participating in crypto-related activities, such as managing crypto assets or participating in stablecoin networks.

This marks a significant shift from earlier policies, which had required explicit regulatory clearance for banks to engage in cryptocurrency activities. Acting Comptroller of the Currency Rodney E. Hood stated that banks will need to have 'strong risk management controls' in place to support these novel bank activities, just as they do for traditional ones.