INSUBCONTINENT EXCLUSIVE:
banking authorities have published new rules that let banks offer custody services for cryptocurrencies if they follow tough safety and
audit measures.The Federal Reserve, FDIC, and OCC now expect banks to treat crypto custody like they do any other financial service, but
codes, known as keys, that unlock those assets.They also need plans for audits and checks, and must make sure employees have proper training
When using outside companies for crypto storage, the banks stay fully responsible for customer losses.Banks face heavy legal duties,
especially around anti-money laundering rules and reporting customer identities
Unlike before, they do not need to tell regulators in advance about new crypto services.U.S
Regulators Set Clear Rules for Banks Holding Crypto
(Photo Internet reproduction)U.S
Banks Cleared to Hold CryptoInstead, routine inspections will check for compliance, reducing hurdles but increasing the spotlight on risk
The changes follow a rollback of older instructions that limited what banks could do with digital assets.Now, data from official regulators
banks hold at least $16 billion in cryptocurrency for their clients
This opens the industry to more competition and new services, bringing digital assets closer to mainstream finance.Why does this matter?
Customers get the benefit of traditional protections for their digital assets and banks can invest in this growing sector under close
supervision.At the same time, the rules force banks to raise their technical standards and remain fully liable for any mistakes
Now that banks have a green light, they must prove they can handle crypto with the same care as cash.This move is likely to reshape
