U.S. Regulators Issue Guidance for Banks Holding Crypto Assets

Three major U.S. banking regulators—the Federal Reserve, OCC, and FDIC—have clarified existing rules for financial institutions seeking to custody cryptocurrencies. The joint statement emphasizes risk management rather than introducing new regulations, reflecting cautious institutional engagement with digital assets.

Banks must implement robust safeguards against hacking, operational failures, and private key mismanagement. The guidance distinguishes between fiduciary and non-fiduciary custody arrangements, with the former requiring compliance with specific federal statutes. This regulatory clarity could accelerate institutional crypto adoption while maintaining consumer protections.

The evolving nature of crypto markets remains a focal point. "A banking organization contemplating crypto safekeeping should consider the market's dynamic characteristics," regulators noted. The statement signals growing acceptance of crypto in traditional finance, provided institutions maintain rigorous risk controls.