The U.S. Currency Regulatory Agency clarifies banks' right to participate in certain cryptocurrency activities

PANews March 8th news, the US Office of the Comptroller of Currency (OCC) interpretive letter reiterated that a series of cryptocurrency activities are allowed in the federal banking system, confirming that the National Bank and the Federal Savings Association can conduct crypto asset custody, certain stablecoin activities, and participate in independent node verification networks such as distributed ledgers. The letter also revokes the requirement that agencies regulated by the U.S. Currency Regulatory Agency must obtain no objection from regulators and demonstrate that they have implemented adequate control measures before participating in these cryptocurrency activities.

"The OCC hopes that banks can implement equally strong risk management controls to support new banking activities as they support traditional banks," said Rodney E. Hood, acting director of the Office of the Comptroller of Currency. "Today's action will ease the burden of banks participating in crypto-related activities and ensure that the OCC treats these banking activities consistently regardless of their underlying technology. I will continue to work to ensure that regulation is effective and not overdoing, while maintaining a strong federal banking system."