The U.S. Currency Comptroller: Federally regulated banks can participate in encryption custody and certain stablecoin activities

Golden Finance reported that the Office of the Comptroller of the Currency (OCC) issued a new letter, announcing the revocation of Interpretive Letter 1179 issued on November 18, 2021, and reaffirming that the activities of encryption asset custody, Distributed Ledger, and stablecoins discussed in the previous letter are permitted. OCC confirms in a letter: “National banks and federal savings associations may engage in encryption asset custody, certain stablecoin activities, and participate in independent node validation networks.” Acting Comptroller of the Currency, Rodney E. Hood, stated: “The OCC expects banks to adopt risk management controls as robust as those for traditional bank activities to support new banking activities.” The institution also stated that it has withdrawn the requirement for restrictive controls that the institution had in place before engaging in encryption activities.