Big Move in Financial Regulation: U.S. Senate Committee Advances FIRM Act to Ban "Reputational Risk" Assessments!
The U.S. Senate Banking Committee has taken a groundbreaking step by advancing the Financial Integrity and Regulation Management Act (FIRM Act). This legislation aims to eliminate the use of "reputational risk" as a factor in financial regulation, a move that could reshape how banks and financial institutions operate. Critics argue that reputational risk has been misused to target industries and individuals based on political motivations, stifling innovation and access to financial services. With bipartisan support and backing from major organizations like the U.S. Chamber of Commerce, this bill could be a game-changer for industries like crypto, which have faced debanking challenges.
Curious about how this could impact the financial landscape? Check my profile @Robert Chelios for a detailed analysis