The U.S. Office of the Comptroller of the Currency (OCC) has eased restrictions on national banks engaging in cryptocurrency-related activities, removing a prior requirement for regulatory pre-approval.
In a statement released Friday, the OCC clarified that federally regulated banks are permitted to participate in certain cryptocurrency activities, including custody services, stablecoin operations, and distributed ledger verifications.
Banks No Longer Need Pre-Approval for Crypto Activities
Previously, banks were expected to obtain explicit approval from regulators before engaging in crypto-related activities.
The requirement, established under the Biden administration, was part of broader efforts to impose safeguards on the financial sector’s involvement in digital assets.
However, the OCC’s latest decision rescinds those guidelines, removing barriers that had discouraged banks from entering the cryptocurrency space.
Trump Administration Pushes Pro-Crypto Policies
Rodney E. Hood, the acting comptroller of the currency, emphasized that while banks are now freer to engage with cryptocurrencies, they must still implement strong risk management practices.
Hood underscored that financial institutions are expected to uphold the same rigorous controls for digital assets as they do for traditional financial products. The regulatory shift aligns with broader federal policy changes under the Trump administration.
On the same day as the OCC’s announcement, the White House hosted a cryptocurrency summit, and President Donald Trump signed an executive order establishing a strategic reserve for Bitcoin and other select cryptocurrencies.
Additionally, the OCC withdrew from joint statements previously issued by U.S. regulators that had cautioned banks about cryptocurrency-related risks.
One such statement from 2023 warned of the sector’s volatility and suggested that bank activities in the space would be subject to heightened scrutiny.
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