Joint statements on crypto assets, issued two years ago, were withdrawn late Thursday by two federal banking regulators; one of them, the Federal Reserve, also said it was withdrawing guidance related to crypto-asset and dollar token activities
In separate releases, the Fed and the Federal Deposit Insurance Corp. (FDIC) also said they were withdrawing statements issued in January and February of 2023, which addressed crypto-asset risks and liquidity risks to banking organizations resulting from crypto-asset market vulnerabilities. The Fed said the action by the two regulators matches action taken earlier this year by the Office of the Comptroller of the Currency (OCC).
The Fed also said, in Thursday’s announcement, that its action withdrawing guidance ensures “the Board’s expectations remain aligned with evolving risks and further support innovation in the banking system.”
Specifically, the Fed said it is withdrawing a 2022 supervisory letter that it said established “an expectation” that state member banks provide advance notification of planned or current crypto-asset activities.
“As a result, the Board will no longer expect banks to provide notification and will instead monitor banks’ crypto-asset activities through the normal supervisory process,” the agency said.
The Fed also announced it is also rescinding a 2023 supervisory letter regarding the supervisory nonobjection process for state member bank engagement in dollar token activities.
Agencies Withdraw Joint Statements on Crypto-Assets
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