U.S. Banks Cleared to Hold Cryptocurrency on Balance Sheets for Blockchain Operations
The Office of the Comptroller of the Currency (OCC) has issued a landmark decision allowing national banks in the United States to hold cryptocurrency on their balance sheets. This move, detailed in a new interpretive letter, represents the most significant policy shift for banks and digital assets since 2020.
Banks can now use crypto to pay network fees, such as gas fees, on public blockchains supporting permissible banking activities. This includes transaction settlement and operating blockchain-based platforms. The guidance also permits banks to hold digital assets for testing crypto-related systems, whether developed in-house or by third parties.
Adam Cohen, the OCC’s senior deputy comptroller, framed the change as a pragmatic update. By allowing banks to hold crypto directly, the OCC aims to reduce reliance on external counterparties and mitigate operational risks associated with acquiring small amounts of digital assets.
