U.S. bank regulators scrapped several documents that had urged caution around cryptocurrency, signaling a shift toward a more open approach under the Trump administration.
On Thursday, the Federal Reserve withdrew two supervisory letters that told banks to get advance approval before engaging in crypto and stablecoin activities. The Fed joined the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency in also rescinding 2023 statements that warned of crypto risks.
Those earlier warnings focused on volatility, legal uncertainty, and liquidity concerns tied to digital assets. Regulators now say they're considering new guidance that could support innovation in crypto.
The OCC had already pulled back similar guidance in March, making it easier for banks to explore digital asset services.
While the agencies haven't released replacement rules, the rollback opens space for banks to enter or expand in crypto. Still, the lack of updated oversight leaves a gap that could raise new risks.
The coordinated move marks a shift from the stricter approach under the previous administration and reflects growing political will to give crypto a wider lane in traditional finance.
