The Fed simplifies the rules for banks in the field of cryptocurrencies and tokens

The US Federal Reserve has announced the lifting of a number of restrictions regarding the interaction of banks with cryptocurrencies and tokens. As part of the changes, the 2022 directive was repealed, which required state member banks to notify in advance of their intentions or current work with crypto assets. Now such activities will be monitored within the framework of standard supervisory procedures without additional notification.

The 2023 guidance regarding the approval process for banks involved in transactions with dollar tokens has also been canceled. In addition, together with other regulatory authorities – the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency – two 2023 documents providing recommendations on risk management related to crypto assets were withdrawn.

The Fed Board intends to continue working with other regulators to possibly develop new recommendations aimed at supporting innovation, including those related to working with cryptocurrencies and related assets.