US Regulators

US Regulators to Set Clear and new Rules for Banks to Deal with Crypto

A group of US regulators is finding a way that how can banks hold crypto on their balance sheet while providing crypto services. FDIC Chairman has warned that if we don’t bring this activity inside the banks, it’s going to happen outside of the banks.

Everyone has been hearing that how the US is going to ban or regulate the crypto world. But, it seems that the US Regulators don’t have any plan at hand yet. So, they are just tingling with the crypto market while knowing nothing that how they are going to deal with it. Don’t get too much anxious as they are working on a plan to regulate crypto and provide a clear path for the banks to deal with it. Federal Reserve, FDIC, and OCC are working together to find a solution.

US Regulators to set clear path for Banks:

The chairman of the FDIC (Federal Deposit Insurance Corporation), Jelena McWilliams, has revealed that the US Regulators are working together to find a roadmap for the banks to engage with the crypto. McWilliams also added that:

“My goal in this interagency group is to basically provide a path for banks to be able to act as a custodian of these assets, use crypto assets, digital assets as some form of collateral … At some point in time, we’re going to tackle how and under what circumstances banks can hold them on their balance sheet.”

US Regulators
Jelena McWilliams at the conference informing about the decisions made by US regulators

He further showed his concern on how difficult it is to add a volatile asset to be used as collateral and include it on the bank balance sheet. “I think that we need to allow banks in this space, while appropriately managing and mitigating risk,” McWilliams opined, elaborating. He also said that the US regulator will surely come up with something useful. He stressed that this activity must be included inside banks, otherwise, it will develop outside banks.

I hope the US regulators will come with something unique and easy for everyone. If the US decides to just ban crypto, it will be bad for the market. For more similar content please click here.

About mnmansha

MN Mansha is a cryptocurrency expert, trader, and content writer with extensive experience in covering everything related to digital assets — from price analysis to Blockchain disruption. Mansha authored 100+ stories for NewsBSC.com and other fintech media outlets and he's actively writing more every day. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

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