- The US OCC is aligned with other agencies to issue clear crypto regulations under the Donald Trump administration.
- US banks can now cooperate with defi protocols to ensure a safe mainstream adoption of digital assets.
The United States Office of Currency (OCC) Comptroller (OCC) announced Wednesday, May 7, that national banks and federal savings associations may participate in care and trading services. According to the published letter of Interpretive 1184, banks can buy and sell crypto assets held in the customer's direction.
In addition, the OCC has made it clear that national banks and federal saving associations are allowed to outsource at third parties unacceptable activities with assets considered crypto.
“As with any activity, a bank should conduct crypto-asset custody activities, including through a sub-custodian, in a safe and orderly manner and compliance with the applicable law,” the OCC mentioned.
Basic Takeaways from OCC announcement and Crypto market impact
OCC approved for banks to handle crypto assets is a clear indication of rising demand for cryptocurrencies of institutional investors. The striking climbing of real-world tokenization assets attracts known attention from lawmakers looking to ensure the clarity of the crypto market and investor protection.
With Wall Street banks allowed to handle OCC assets of the OCC, Cash Inflow in crypto investment products will experience a sharp uprising in the near term. In addition, the US banking industry has experienced significant headwinds, including highly unaware of their security losses.
The adoption of blockchain technology through traditional finances is inevitable as a way to ensure sustainable prospects in future growth.
