Crypto Oversight Road Map Is Set by U.S. Banking Regulators
New rules could become particularly important as officials consider ways to regulate tokens more like bank assets.
November 24, 2021 at 09:00 AM
2 minute read
Financial Services and BankingU.S. banking agencies have issued a to-do list of their plans to tackle oversight of the cryptocurrency industry next year.
In an agenda released on Tuesday, the Federal Reserve and other regulators outlined what issues they plan to focus on as they consider rules for how banks interact with cryptocurrencies. Their priorities include weighing custody, crypto-backed loans and the possibility of capital standards, according to a joint statement.
"Throughout 2022, the agencies plan to provide greater clarity on whether certain activities related to crypto-assets conducted by banking organizations are legally permissible," the Fed, Office of the Comptroller of the Currency and Federal Deposit Insurance Corp. said in the statement.
While the announcement doesn't affect any current regulations, the topics officials said they want to clarify could shape how the agencies ultimately regulate the way banks use crypto. Their "crypto-asset road map" overlaps with moves the OCC made in 2020 to open up banking to digital coins when Brian Brooks was in charge of the agency, though current Acting Comptroller Michael Hsu paused those efforts.
After concluding what they called a "crypto sprint" to study how agencies were approaching crypto, the banking regulators settled on several areas they need to clarify. Those issues include how banks should properly maintain custody of crypto assets, what firms should do to help consumers make transactions, how stablecoins should be issued and what capital and liquidity standards should be for lenders' crypto holdings.
New rules could become particularly important as officials consider ways to regulate tokens more like bank assets. The President's Working Group on Financial Markets wants Congress to take up legislation requiring that stablecoins only be issued by regulated banks. The group of agency heads has also called for government overseers to assess whether tokens pose risks to the wider financial system.
Still, it's uncertain whether the three bank agencies will be able to agree on anything in the near term. The OCC is still awaiting the confirmation of a permanent leader, and the Biden administration hasn't yet nominated a vice chairman to run the Fed's supervision work. Meanwhile, the FDIC is still run by a Trump administration appointee, Jelena McWilliams.
NOT FOR REPRINT
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllTrump Mulls Big Changes to Banking Regulation, Unsettling the Industry
CFPB Orders Big Banks to Limit Overdraft Fees to $5. But Will Its Edict Stick?
3 minute readUS Judge Throws Out Sale of Infowars to The Onion. But That's Not the End of the Road for Sandy Hook Families
4 minute readGreenberg Traurig Initiates String of Suits Following JPMorgan Chase's 'Infinite Money Glitch'
Trending Stories
- 1What Does ‘More-for-Less’ Mean?
- 2Top A&O Shearman Labor Lawyer Leaves to Found Boutique Firm
- 3After Breakaway From FisherBroyles, Pierson Ferdinand Bills $75M in First Year
- 4Skadden and Steptoe, Defending Amex GBT, Blasts Biden DOJ's Antitrust Lawsuit Over Merger Proposal
- 5Sealy Mattress Company Is Sued After Georgia Man Was Found Dead Inside a Locked Trailer
Who Got The Work
J. Brugh Lower of Gibbons has entered an appearance for industrial equipment supplier Devco Corporation in a pending trademark infringement lawsuit. The suit, accusing the defendant of selling knock-off Graco products, was filed Dec. 18 in New Jersey District Court by Rivkin Radler on behalf of Graco Inc. and Graco Minnesota. The case, assigned to U.S. District Judge Zahid N. Quraishi, is 3:24-cv-11294, Graco Inc. et al v. Devco Corporation.
Who Got The Work
Rebecca Maller-Stein and Kent A. Yalowitz of Arnold & Porter Kaye Scholer have entered their appearances for Hanaco Venture Capital and its executives, Lior Prosor and David Frankel, in a pending securities lawsuit. The action, filed on Dec. 24 in New York Southern District Court by Zell, Aron & Co. on behalf of Goldeneye Advisors, accuses the defendants of negligently and fraudulently managing the plaintiff's $1 million investment. The case, assigned to U.S. District Judge Vernon S. Broderick, is 1:24-cv-09918, Goldeneye Advisors, LLC v. Hanaco Venture Capital, Ltd. et al.
Who Got The Work
Attorneys from A&O Shearman has stepped in as defense counsel for Toronto-Dominion Bank and other defendants in a pending securities class action. The suit, filed Dec. 11 in New York Southern District Court by Bleichmar Fonti & Auld, accuses the defendants of concealing the bank's 'pervasive' deficiencies in regards to its compliance with the Bank Secrecy Act and the quality of its anti-money laundering controls. The case, assigned to U.S. District Judge Arun Subramanian, is 1:24-cv-09445, Gonzalez v. The Toronto-Dominion Bank et al.
Who Got The Work
Crown Castle International, a Pennsylvania company providing shared communications infrastructure, has turned to Luke D. Wolf of Gordon Rees Scully Mansukhani to fend off a pending breach-of-contract lawsuit. The court action, filed Nov. 25 in Michigan Eastern District Court by Hooper Hathaway PC on behalf of The Town Residences LLC, accuses Crown Castle of failing to transfer approximately $30,000 in utility payments from T-Mobile in breach of a roof-top lease and assignment agreement. The case, assigned to U.S. District Judge Susan K. Declercq, is 2:24-cv-13131, The Town Residences LLC v. T-Mobile US, Inc. et al.
Who Got The Work
Wilfred P. Coronato and Daniel M. Schwartz of McCarter & English have stepped in as defense counsel to Electrolux Home Products Inc. in a pending product liability lawsuit. The court action, filed Nov. 26 in New York Eastern District Court by Poulos Lopiccolo PC and Nagel Rice LLP on behalf of David Stern, alleges that the defendant's refrigerators’ drawers and shelving repeatedly break and fall apart within months after purchase. The case, assigned to U.S. District Judge Joan M. Azrack, is 2:24-cv-08204, Stern v. Electrolux Home Products, Inc.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250