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The US Office of the Comptroller of the Currency (OCC) has affirmed that banks under its oversight can transact in crypto on behalf of clients and delegate certain crypto-related functions to external entities.<\/p>\n
Acting comptroller Rodney Hood stated<\/a> in a May 7 correspondence that banks and federal savings institutions are permitted to buy and sell crypto<\/a> they possess in custody at the behest of customers.<\/p>\n The OCC noted<\/a> in a news release that financial institutions can also delegate allowable bank-related crypto operations<\/a>, including custody and execution tasks, to third-party vendors in accordance with relevant laws.<\/p>\n \u201cIn addition, these banks may offer other custody solutions, such as record keeping, tax or reporting assistance for their clients,\u201d Hood mentioned<\/a> in a May 7 video shared on X.<\/p>\n OCC-regulated banks have the ability to buy and sell assets held in custody and are allowed to delegate bank-permissible crypto-asset functions, including custody and execution services. https:\/\/t.co\/0ScQdgNaS6<\/a> pic.twitter.com\/J5dEkx4WUL<\/a><\/p>\n \u2014 OCC (@USOCC) May 7, 2025<\/a><\/p><\/blockquote>\n \u201cOCC banks might utilize a sub-custodian to offer the same services, provided that suitable third-party risk management protocols are in place, while a variety of cryptocurrency and digital asset activities may be executed by banks and their external partners,\u201d he elaborated.<\/p>\n Earlier, the OCC relaxed its position on bank engagement with crypto<\/a> on March 7 by granting approval for crypto-asset custody, certain stablecoin functions, and involvement in independent node verification networks like distributed ledgers.<\/p>\n \u201cOver 50 million Americans owning some form of cryptocurrency signifies that this digitization of financial services is not merely a trend; it’s a transformation,\u201d Hood stated.<\/p>\n The OCC operates as an independent bureau within the US Department of the Treasury that regulates<\/a> and oversees all national banks as well as the federal branches of international banks.<\/p>\n Katherine Kirkpatrick Bos, chief legal officer at ZK-rollup developer StarkWare, remarked<\/a> that the letters indicate a \u201cchange in the OCC\u2019s stance,\u201d which now seems to prioritize the integration of crypto into banking systems.<\/p>\n \u201cMore guidelines will provide additional clarity [and] enable banks to re-engage with crypto [without] the worry of existential regulatory risk,\u201d she noted.<\/p>\n She emphasized that the OCC\u2019s \u201cclear authorization today permitting banks to delegate bank-permissible crypto-assets is a significant advantage for regulated crypto-native service providers.\u201d<\/p>\n The chief policy officer at crypto exchange Coinbase, Faryar Shirzad, also commended the initiative, stating<\/a> in a May 7 post on X, Hood\u2019s dedication to \u201cregulatory clarity, along with his commitment to supervisory best practices and compliance with the law,\u201d is valued.<\/p>\n The Trump administration has adopted a more favorable stance towards crypto<\/a> since assuming office in January.<\/p>\n Related: <\/strong><\/em>The lessons learned at Operation Chokepoint 2.0 Congressional hearings<\/strong><\/em><\/a><\/p>\n In April, the US Federal Reserve announced it was retracting guidance<\/a> that had been designed to discourage banks from participating in crypto and stablecoin efforts.<\/p>\n US President Donald Trump also signed a joint congressional resolution on April 11<\/a>, rescinding a rule from the Biden administration that would have mandated decentralized finance protocols to report transactions to the Internal Revenue Service.<\/p>\n Magazine: <\/strong><\/em>SEC\u2019s U-turn on crypto leaves key questions unanswered<\/strong><\/em><\/a><\/p>\n <\/p>\n<\/div>\n\n
Industry backs the OCC correspondence<\/h2>\n