Trends in TradFi

The Fed relaxes on cryptocurrencies

In a major victory for the crypto sector, the U.S. Federal Reserve has removed previous rules that restricted banks' participation with cryptocurrencies and dollar-backed tokens, marking a significant shift towards a more supportive stance.

Banks will no longer need to seek prior approval for crypto activities; instead, operations will be overseen through the standard supervision process. The Federal Reserve, along with the FDIC and the OCC, also withdrew previous warnings about crypto risks, signaling plans for new innovation-friendly guidance.