Federal Deposit Insurance Corporation (FDIC), the unit that insures deposits in banks and savings institutes, recently announced It would be to revise their guidelines so that banks can participate in digital asset -related activities.
“Looking forward, we actively evaluate our supervisory method for crypto-related activities. This includes compensation Finance Institute letter (file) 16-2022 and provides a way for institutions to participate in crypto and blockchain-related activities while following the principles of security and health, says FDIC, acting chairman Travis Hill in the office’s official statement.
“FDIC is also looking forward to engaging in the president’s working group in digital asset markets established by President’s January 23 2025 Executive orderHe added.
Since the start of digital assets, banks and financial institutions have been implicitly prohibited from engaging with them. These institutions considered digital assets as high riskAnd dealing with them often meant that he lost access to crucial federal protection. FDIC’s reinforced this cautious approach after FTX collapsed in 2022, when FDIC and the Office of the Foreign Exchange (OCC) issued a joint statement Warning banks about the risks of crypto, says:
“Given the significant risks emphasized by the latest failures from several large crypto-asset companies, the agencies continue to take a careful and cautious approach related to current or proposed crypto access-related activities and exposures at each banking organization. It is important that risks related to the crypto access sector that cannot be mitigated or controlled do not migrate to the banking system. “
But with this new announcement, it looks like change is coming. Banks and financial institutions may soon have the freedom to manage digital assets without fear of losing FDIC support. This is particularly relevant considering that Banks, after Donald Trump took office, began to express interest in dealing with digital assets – as long as there was Clear guidelines that they could follow to remain compatible.
If FDIC’s audits are materialized, banks may start offering brokers and custody solutions for digital assets and Stablecoins. This would introduce new competition for companies that Coin base (Nasdaq: Coins), one of the few US-based units worth and implemented digital asset-based financial operations. If Traditional economy . into the larger, better capitalized Tradfi institutions.
White House Crypto Czar David Sacks promises Crypto Golden Age
On February 5, the White House Crypto Czar, David Sacks, spoke at a press conference. He opened by confirming the administration’s commitment to responsible growth of digital assets in all sectors in the economy. He went on to quote two important initiatives that have already taken place: the creation of the executive Branch Working Group for digital assets and the newly formed Crypto Task Force within Securities and Exchange Commission (Sec).
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Sacks emphasized that his highest priority delivers clarity for digital assets and stablecoins in the United Statescriticize the previous administration for missing the industry. He claimed that unclear politics forced some of the most innovative crypto companies to move abroad, which made them more difficult to regulate. He even pointed FTX As an example of what happens when digital asset companies operate outside US jurisdiction … they collapse.
“Getting from four years of arbitrary prosecution and persecution of crypto companies, where Sec would not tell the founders what the rules were and then would prosecute them anyway,” he said during his speech before finally closed with the bold statement that “US will Create the golden age for digital assets. ”
Although it is good when digital assets make the headlines, especially when they come out of the White House, in my opinion, Sacks actually said nothing new or of substance. He repeated what the Trump administration has already done-establishing new government agencies to create clearer politics-but gave no details about how the so-called “golden age” will be achieved. The administration has consistently framed as crypt -friendlyBut in addition to relaxing regulatory pressure and facilitating enforcement, there has been nothing tangible when it comes to actual resources that will help the industry to mature – and in my opinion this is the missing piece.
Although it is fantastic that the industry takes a less strict legislation, especially in comparison with the previous four years, this unfortunately makes it look like the Trump administration encourages more initial coin offers (ICO) (or, as they are now called, “Meme Token launches”). In addition, they have not provided a clear plan for real, long -term industry growth, which I feel will harm the industry more than it helps it in the distant future.
SEC restructures crypto surveillance: More clarity, less enforcement
A lot happened at Sec this week. The agency officially updated their site In order to reflect the creation of its crypto Task Force, which has the task of clarifying how federal securities law applies to the digital asset market and recommend policies that promote innovation while protecting investors.
In addition to this new initiative, Insiders revealed that Sec significantly scaling its special crypto enforcement unit, which had been responsible for prosecuting crypto companies, platforms and individuals. The agency reportedly reduces that this unit is over 50% and has even transferred one of its best litigation, Jorge Tenreiro – which led to moods against several cryptout changes –out of the crypto branch entirely and into the IT department.
These movements mark a significant change in how Sec is approaching digital assets. We can expect an era with greater regulatory clarity, where companies know exactly what is allowed and what is not. This means more business activities, more capital that flows into the industry and fewer projects that get stuck in regulatory limbo.
But there is also a disadvantage. By reducing the labor force from Digital Asset Enforcement, SEC can send the wrong message. There is now a greater chance that bad actors will get away with fraudPump-and-dumps and mats simply pull because fewer people will polish the space.
To me, this shift feels like a direct response to previous criticism that SEC was too aggressive to digital asset companies, and I think there is a certain truth to it. But at the same time, we are probably also entering a period where digital asset fraud is easier to deduct and sometimes even allowed.
I worry that the pendulum will turn too far in the second direction, a direction that looks like “the wild west“What digital asset was called once shortly after it went mainstream. If enforcement disappears completely, we may be in another wave of fraud that damages the industry’s reputation.
Watch: rediscover blockchain: How to build trust in scale
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