OCC Confirms Banks Can Engage in Crypto Activities

So, the Office of the Comptroller of the Currency (OCC) just made it clear that banks can do more with cryptocurrencies. They put out Interpretive Letter 1183, which basically says that national banks and federal savings associations can handle crypto-asset custody, some stablecoin stuff, and interact with independent node verification networks like blockchain. The best part? They’ve scrapped the previous rule that forced banks to get a nonobjection from the OCC and prove they have proper controls before diving into crypto. Acting Comptroller Rodney E. Hood mentioned that banks should hold the same high standards for managing risks in these new activities as they do in traditional banking. This move is gonna ease the way for banks to engage in crypto and keeps things consistent across the board for the OCC, no matter what tech is behind it. Hood’s committed to making sure the regulations are sensible and not overly burdensome, all while keeping a strong federal banking system. Also, consistent with this letter, the OCC has stepped back from the previous joint statements regarding crypto-asset risks and liquidity risks related to the crypto market.