The Federal Reserve 'Changes Its Tune'! Pretending to Relax Rules While Quietly Intensifying Anti-Crypto Policies, Deceiving Everyone

The Federal Reserve recently announced a relaxation of restrictions on cryptocurrencies, but Custodia Bank CEO Caitlin Long pointed out that this move is essentially a 'public relations trick', and the real restrictions still exist. She stated that the Federal Reserve has seemingly rescinded four anti-crypto rules, but in reality, has retained the most important one: prohibiting banks from holding crypto assets, restricting the issuance of stablecoins, and continuing to favor permissioned blockchains.

Caitlin noted that while large banks can leverage this to gain an early advantage in the stablecoin market, it will be much more difficult for other banks to establish a foothold in this area. Furthermore, banks are unable to pay Gas fees when providing cryptocurrency custody services, which means that transactions and management of cryptocurrencies still face obstacles, severely impacting banks' participation in the crypto market.

She criticized the Federal Reserve for only putting on a facade while allowing large banks to gain a competitive edge under the new policy, warning that such actions will further strengthen Wall Street's dominance. Senate Banking Committee member Cynthia Lummis did not hide her disdain for the Federal Reserve's actions, calling them 'empty talk', and stated that she would take measures to correct this 'deceptive tactic'.