US Regulators Confirm Banks’ Right to Custody Crypto

The OCC, FDIC, and Federal Reserve released a joint statement today, explicitly giving banks permission to custody clients’ crypto. Several regulators have tried to enact this policy independently, and the rule is even clearer today.

However, this comes with a few caveats, as the regulators repeatedly tried to emphasize consumer protection. Most importantly, banks are explicitly forbidden from letting their clients have keys to these custody mechanisms.

Sweeping new pro-crypto attitudes have permeated the federal regulatory apparatus, bringing a wide range of changes.

However, lingering confusion can still delay prominent wins, and agencies sometimes lose their battles. Today, three federal financial regulators have united to release a statement, confirming that banks can custody crypto: