The US Federal Deposit Insurance Institution (FDIC) has published a new directive that has abolished the obligation to get permission in advance within the scope of crypto assets. This practice was fulfilled in previous years and the application that caused criticism. The arrangement aims to allow banks to operate in services such as crypto assets storage, purchase and sale, provided that they manage their risks correctly.
Crypto and Banks
The article for the newly published financial institutions withdraws the FDIC approval, which is compulsory in 2022. This change is seen as an important step for banks to act more flexible in the crypto asset ecosystem. The abolished obstacle has been a long -term concern by sector representatives.
With the last step, many banks have been facilitated to offer products and services for crypto currencies.
Crypto and risks for banks
Banks will pay attention to risk management principles while entering crypto asset services within the scope of the new directive. FDIC, old regulations replacing a current crypto directive will be prepared, he said. The relevant regulation will be implemented depending on the coordination process between the authorized institutions.
The predetermined rule caused the difficulty in the banking sector. This revision in the regulation aims to reduce the bureaucratic obstacles encountered by banks in developing existing crypto asset strategies.
“FDIC leaves behind the wrong approach in the past three years.” – FDIC President Travis Hill
Despite the uncertainties, large organizations in the field of banking began to provide services in the field of crypto assets. The clarity to be provided in powers and regulations can prepare the ground for more organizations to show interest in this field.
These developments offer a promising environment for banks to take a more active role in digital assets. While regulatory institutions continue to give importance to the operational security of banks and the control of risks within the scope of the new directive, the sector is expected to adapt to applications.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
